This article first appeared in The Edge Financial Daily, on June 14, 2016.

KUALA LUMPUR: LTKM Bhd, a poultry player cum property developer, is buying four adjoining leasehold lands in Seri Kembangan, Selangor, with a combined size of 2.58ha, for RM58.4 million cash, to stock up its land bank.

In a filing with Bursa Malaysia, LTKM said its wholly-owned subsidiaries, LTK Properties Sdn Bhd and LTK Development Sdn Bhd, have entered into four different sale and purchase agreements for the proposed acquisitions.

Among the four parcels of land, two of them are owned by CN Asia Corp Bhd’s subsidiaries, namely Chip Ngai Engineering Works Sdn Bhd and Douwin Sdn Bhd. These plots are collectively worth RM36.68 million.

The third parcel of land, currently owned by Crystal Bond Sdn Bhd, is priced at RM10.76 million; while the final parcel, owned by Marvellous Production Sdn Bhd, is being purchased at RM10.96 million.

LTKM said it will fund the acquisitions via internally generated funds and bank borrowings, while the exact mix of both funding sources will be determined later.

The group also said these lands are situated in a strategic location in the Balakong township, which it does not only has close proximity to a major shopping mall, but also five-star hotels, corporate offices, medical centre, and international school.

LTKM fell one sen or 0.68% to RM1.46 yesterday, giving it a market capitalisation of RM189.95 million.