HIL Industries Bhd expects to generate an estimated gross development profit of RM96.1 million from its latest residential projects in Selangor.
In a filing with Bursa Malaysia yesterday, HIL said the profit is based on the management feasibility studies, and after deducting the estimated gross development cost and Landowners' Entitlement from the proposed joint ventures (JVs).
Its wholly-owned subsidiary Amverton Prop Sdn Bhd will undertake the projects on five parcels of land in Sungai Buloh, Klang, and Jugra in Selangor.
Amverton had entered into four conditional joint venture agreements (JVAs) with Unik Sejati Sdn Bhd, Pembinaan Kesentosaan Sdn Bhd, and Amverton Carey Golf & Island Resort Sdn Bhd for the residential projects, involving a total of 41.60 hectares.
HIL said the proposed JVs are in line with its aim to expand its property business, centred in Klang Valley.
It said the projects are expected to increase revenue and profit contribution from the property development segment as well as the overall financial performance of the group.
The company also said that it will continue to source and lookout for opportunities to obtain more development land within Klang Valley to ensure the continuous growth of its property business.
HIL's main business was in the plastic injection industry. It ventured into the property development scene in 1995, focusing on affordable housing.
It is the pioneer developer of Kota Kemuning South where the initial projects that started there were the Bukit Kemuning Golf & Country Resort.