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EcoWorld, EPF to develop townships in Penang

KUALA LUMPUR: Eco World Development Group Bhd (EcoWorld) has signed a conditional subscription and shareholder agreement (SSA) with the Employees Provident Fund Board (EPF) to jointly develop 152 hectares in Batu Kawan, Penang.

In a statement today, EcoWorld said, the land would be developed by Eco Horizon Sdn Bhd into two complementary townships, known as Eco Horizon and Eco Sun, which would have a combined gross development value of RM7.76 billion.

“This is EcoWorld’s and EPF’s third venture after two successful projects in the Klang Valley,” it said.

Eco Horizon Sdn Bhd (EHSB or JVCo) is a unit of EcoWorld.

“Pursuant to the SSA, EPF will subscribe for four million ordinary shares or 40 per cent equity interest in EHSB, and will provide shareholders advances to JVCo to fund the proposed developments.

“EcoWorld will continue to own 60 per cent of the JVCo and EcoWorld Project Management Sdn Bhd (EWPM), a unit of EcoWorld, will be appointed as the development manager for the projects,” the group said.

EcoWorld said the JVCo would also enter into a brand license agreement with EWPM to enable both Eco Horizon and Eco Sun to be marketed as signature EcoWorld developments.

The 122ha Eco Horizon is situated just off the primary interchange linking the Second Penang Bridge to the North-South Highway.

The 30ha Eco Sun is located along Cassia Town Highway close to the Penang State Stadium. -- BERNAMA

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