SD Guthrie signs industrial JV, plans RM933.57 million Selangor land sale
The venture with Bumi Assets and YTL Power will develop 657.09 hectares in Bukit Kerayong, with completion of the proposed sale expected in the first quarter of 2027.
SD Guthrie Bhd has agreed to establish a joint venture with Bumi Assets Sdn Bhd and YTL Power International Bhd for an industrial development in Selangor. Under the transaction, it proposes to sell 657.09 hectares of freehold land in Bukit Kerayong to the venture for RM933.57 million.
In a filing with Bursa Malaysia, SD Guthrie said the project would include facilities for light-to-medium industry alongside commercial hubs. Bukit Kerayong Industrial Developments Sdn Bhd will undertake the development.
SD Guthrie Land Ventures Sdn Bhd will own 30 per cent of the venture. The remaining stakes will be split equally between Bumi Assets and YTL Power subsidiary Bukit Kerayong Industrial Venture Sdn Bhd, at 35 per cent each.
SD Guthrie's investment commitment is capped at RM101.12 million. This comprises RM3 million in equity and up to RM98.12 million in short-term advances for the land purchase and associated costs.
The group expects a RM586.30 million net gain from the proposed sale, including consolidation adjustments. It said the disposal would realise value from its Malaysian landbank and broaden earnings beyond palm oil.
SD Guthrie allocated RM744.38 million of the proceeds towards partial repayment of bank borrowings, RM88.07 million towards estimated real property gains tax and RM101.12 million towards the venture. It expects the sale to conclude in the first quarter of 2027, subject to unforeseen circumstances.
