Corporate results: Pos Malaysia and PRG Holdings

Pos Malaysia acquires two factory units in Johor for RM8.84m
Pos Malaysia Bhd has entered into two separate sale and purchase agreements (SPAs) with Tentu Teguh Sdn Bhd for the proposed acquisition of two new adjoining units of one-and-a-half-storey link-detached factories in Johor for RM8.84 million. In an exchange filing Friday, Pos Malaysia noted the deal will funded with internal funds and/or bank borrowing. The acquisition will address the current office space constraint and business expansion plan for Pos Laju operations. The deal is estimated to be completed within 90 days from the date of the SPAs.
PRG inks JV on housing project in Perak
PRG Holdings Bhd’s unit, Premier Construction Sdn Bhd (PCSB), has entered into a joint venture (JV) agreement with Premier Aspirasi (Batu Gajah) Sdn Bhd (PABG) in connection with the development of a housing project in Kinta, Perak. In an exchange filing yesterday, the company noted in consideration of PCSB agreeing to surrender and granting exclusive right to PABG to develop the land for the project, PABG has vide a letter of award dated Oct 13, 2017, appointed PCSB as the main contractor for the project at the construction cost mutually agreed to by both parties pursuant to the said letter of award and related documents appended thereto. By accepting the appointment as main contractor for the project, PCSB is agreeable to the consideration of the JV agreement for the amount of RM10.31 million for the land cost and RM25.30 million for the construction and other cost. Any claim of construction cost made by PCSB from PABG in carrying its duty shall be dealt separately under related contract/agreement between the parties. PRG added the JV agreement is to facilitate the application of the advertising permit and developer license for the project. It added the project will provide a good opportunity to enhance the revenue of PRG group.