Setia continues to direct its efforts into other revenue streams via landbank management, making its mark in industrial development and continuing regional expansion in Vietnam and Australia. Image from: S P Setia
S P Setia Berhad (“Setia” or “the Group”) is pleased to announce the successful completion of the sale of its 959.72-acre land parcel in Tebrau, Johor. This strategic transaction, conducted through its subsidiary Pelangi Sdn Bhd, was completed earlier today with Senibong Island Sdn Bhd, bringing a cash contribution of RM564 million to Setia. By unlocking the value of this asset, the deal enhances the company's financial standing, contributing to an expected profit after tax of RM332 million.
Finances Poised for Growth
“This successful transaction complements our de-gearing efforts, which are happening according to plan and shall contribute to our future growth. By efficiently managing our capital structure, channelling resources into fast-developing projects, rationalising our cost structure, and directly boosting our bottom line, Setia is better positioned for expansion and long-term sustainability,” said Datuk Choong Kai Wai, President & CEO of S P Setia Berhad.
Charging Across Multiple Frontiers
Setia continues to direct its efforts into other revenue streams via landbank management, making its mark in industrial development and continuing with regional expansion in Vietnam and Australia to broaden its income base, in addition to its strong execution of township projects in line with market demand.
Setia has also commenced pre-IPO preparatory work to explore the establishment of a Real Estate Investment Trust (REIT), showcasing a diverse asset portfolio, which may include retail complexes, office buildings, schools and a convention centre, establishing a new pathway for investor value and company growth.
“Our strategy to realise the values of our identified land assets has brought us one step closer to an even stronger financial state and supports our efforts to diversify our income base. We remain committed to our ethos of excellence and innovation, driving growth while delivering superior value to our stakeholders,” he added.
(12 June 2024)