Paramount Corporation Bhd's wholly-owned subsidiary, Paramount Property (Sekitar 26 Enterprise) Sdn Bhd (PPS26) has entered into a sale and purchase agreement worth RM90 million with Goodhart Management Sdn Bhd (GMSB) to dispose of freehold land at the Sekitar26 development in Pekan Hicom, Selangor.
In a filing with Bursa Malaysia on November 29, the property developer said the proposed disposal of approximately 4.701 hectares of land is expected to be completed by the first quarter of 2022.
"The land is located along Persiaran Kuala Selangor, Seksyen 26, Shah Alam, which has the East boundary fronting of Jalan Serendah 26/17 and the West boundary adjoining Sekitar26 Enterprise, while adjoining Sekitar26 Business at its northern boundary," it said.
The company said Sekitar26 Enterprise and Sekitar26 Business are both property developments of PPS26.
It said the total cash proceeds of RM90 million is intended to be utilised by the Paramount group for disposal expenses, repayment of bank borrowings and working capital.
"The disposal is in line with Paramount's plan to improve the operational performance of property division by focusing on property developments that are able to generate returns within a shorter turnaround time, particularly in times of economic uncertainty," the company said. - Bernama