Monday 16 Dec 2024
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KUALA LUMPUR (July 15): Carbon-based products manufacturer PMB Technology Bhd (KL:PMBTECH) said it is selling a parcel of leasehold land in Klang for RM79.3 million, primarily to fund its working capital.

The sale of the 113,312 sq metre-land to Knauf Sdn Bhd is expected to result in a one-time gain of RM51 million, which will boost the group’s earnings for the financial year ending Dec 31, 2024, said PMB Technology in a filing with Bursa Malaysia.

The land had a net book value of RM15.4 million as of end-December 2023.

“The proposed disposal will enable PMBT Group to unlock capital resources from being tied up in long term assets and realise the property at a fair market value whilst enhancing the group’s liquidity and strengthening its financial position,” added the group.

PMB Technology said the sale, which is expected to be completed by the fourth quarter of this year, will reduce the group’s gearing ratio from 0.89 times to 0.84 times. Net assets per share will increase to 0.71 sen from 0.67 sen.

Shares of PMB Technology closed down three sen or 1.26% to RM2.35 on Monday, giving the group a market capitalisation of RM3.82 billion.

Edited ByS Kanagaraju
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