KUALA LUMPUR (Sept 2): OSK Holdings Bhd (KL:OSK) is acquiring land in Rawang, Selangor with a plan to develop mixed properties worth RM1.26 billion in gross development value on the site.

The company will pay RM58 million for the 14.45-acre land, or RM92.16 per sq ft, in deal that will mark its foray into the northern Klang Valley, OSK said in an exchange filing. The land will support future residential and commercial developments, the company noted.

“This acquisition is a key component of our long-term growth strategy,” OSK Holdings said. “It strengthens our development pipeline and positions us to capitalise on favourable market conditions.”

The seller of the land within the Bandar Country Homes township is Temasya Mentari Sdn Bhd, whose board is led by Datuk Wong Nam Loong, the owner of restaurant chain Esquire Kitchen.

The acquisition will be undertaken by Aspect Dynamic Sdn Bhd, an indirect 99.93%-owned subsidiary of OSK Holdings, and funded through a combination of internally generated funds and bank borrowings. The transaction is expected to be completed in the fourth quarter, OSK Holdings said.

The proposed acquisition is in line with OSK Holdings’ strategy of focusing on mature markets with faster development cycles, the company noted.

“We believe the timing is right to unlock new opportunities in this corridor, complementing our existing portfolio and reinforcing our commitment to sustainable, community-centric developments,” she added.

Shares of OSK Holdings were unchanged at RM1.28 on Tuesday, valuing the group at RM4.02 billion market capitalisation. Year-to-date, the stock has gained 8.5%.