Sentoria Group Bhd is buying 150 acres (60.7ha) of land in Morib, Selangor, from Seriemas Development Sdn Bhd for RM20.25 million for the development of a theme park as part of an earlier joint-venture (JV) agreement between the two parties.
Under the sale and purchase agreement, Sentoria will acquire the land via its wholly owned unit, Sentoria Morib Bay Sdn Bhd.
The land will be developed with a water theme park, convention centre, safari park and boutique hotel.
As part of the JV and development right agreement reached on Dec 31, 2012, Sentoria and Seriemas agreed to jointly develop 204 acres of land in the area into a mixed commercial and residential development and theme park.
In an exchange filing yesterday, Sentoria noted the development of the theme park will drive demand for the residential and commercial components of the project, while allowing the group to increase its landbank and contribute to its future earnings.
The property developer and resort operator said the proposed acquisition will be financed by a RM13.5 million term loan, while the remainder RM6.75 million will be funded through internally generated funds.
The deal is expected to be completed by the first quarter (1Q) of next year, pending approval by the relevant government and statutory authorities.
Meanwhile, MCE Holdings Bhd secured a nine-year contract to supply electronics and mechatronic parts for the new model of cars under the Proton Holdings Bhd and Zhejiang Geely Holding Group Co Ltd tie-up.
The automotive parts maker will supply various components and parts for the new Proton car models via its wholly owned unit, MultiCode Electronics Industries (M) Bhd, from the fourth quarter of the financial year ending July 31, 2019 (4QFY19).
In an exchange filing yesterday, MCE noted it expects to generate a total of RM105 million in revenue over the nine-year period from its estimated total investment of RM800,000.
It said the contract award should contribute positively to group earnings from FY20 onwards. Proton and Geely are scheduled to launch Proton’s first SUV Bouye by the 4Q of this year.