SERI KEMBANGAN: Country Heights Holdings Bhd plans to monetise its assets, which prior to the pandemic were worth a staggering RM3.5 billion.
According to its new group managing director Datuk Mircle Yap, some of these assets include land and buildings situated within the 1,300-acre Mines Resort City in Seri Kembangan.
"The company is asset-rich. We will go back to the fundamentals of the company and see which assets we can monetise. If we were to revalue all these assets prior to the pandemic, it would be about RM3.5 billion. But in the current market, we are being a bit conservative to say they are only worth just over RM2 billion.
"We will examine all of the strategic assets, along with the non-core assets, to determine how best to unlock them," he told the New Straits Times recently.
Yap said the majority of the company's assets are at historical levels.
Country Heights has 2,357 acres of land in Selangor, Kedah, Negri Sembilan, Selangor and Kuala Lumpur, with a combined net book value of RM1.076 billion, according to its most recent Annual Report 2022.
The company recorded a net loss of RM81.63 million for the fiscal year that ended on Dec 31, 2022, as opposed to a net profit of RM2.64 million for the prior equivalent period.
Revenue decreased to RM45.84 million from RM104.91 million, partly because a significant RM54 million land sale was completed the prior year.
Yap said Country Heights is anticipated to do better this year due to improved performance in all of its business divisions.
"Country Heights' gearing ratio is very low if you were to compare it to any property developers. Our total borrowing is only about RM200 million. If both inflation and interest rates cool down this year, then I think this year and in 2024 the company will do better," he said.
Yap disclosed that in order to grow its business, the company's property development division intends to introduce four projects this year totaling RM920 million in gross development value (GDV).
The new launches are Mines Beach Suite, which has a GDV of RM600 million; a housing project in Jitra, Kedah (GDV: RM200 million); a luxury development in Cyberlake Heights (GDV: RM60 million); and Pajam Industrial Hub in Negri Sembilan (GDV: RM60 million).
Country Heights founder and adviser Tan Sri Lee Kim Yew stressed the company's dedication to speeding development activities to position it for long-term success and growth.
Future plans to grow the business include building properties that adhere to the ESG framework, setting up an international medical and wellness hub, the repositioning of Mines Beach Resort, and implementing a structured membership programme, he said.
The last five trading days saw a rise of 8 sen, or over 25 per cent, in the price of Country Heights' shares. On July 5, the stock hit 47 sen, from a low of 33 sen on June 30.