KUALA LUMPUR (Nov 19): SD Guthrie Bhd (KL:SDG) disposed of approximately 941.82 acres of freehold land in Kulai, Johor, for a total consideration of RM814.78 million to a special purpose vehicle, Eco Business Park 8 Sdn Bhd (EBP8).
Separately, it partnered with Eco World Development Group Bhd (KL:ECOWLD) and Permodalan Darul Ta’zim Sdn Bhd (PDT) to jointly develop the said land, located within the Johor-Singapore Special Economic Zone (JS-SEZ), according to a bourse filing.
As part of the proposal, PDT, SD Guthrie and EcoWorld subscribed to shares in EBP8, currently a wholly owned unit of EcoWorld. PDT is the investment arm and equity holding company of the state of Johor.
Shareholdings in EBP8 will be split with PDT holding 10%, SD Guthrie 25%, and EcoWorld 65%, as per the subscription and shareholders’ agreement signed between the trio on Wednesday, Nov 19.
It is proposed that the tract be developed into an integrated industrial park known as Eco Business Park VIII.
The development is to be implemented over approximately 10 years with a preliminary gross development value of around RM3.75 billion.
The sale consideration will be paid in instalments, beginning with a 15% deposit.
The transaction is conditional upon several approvals, including from the Estate Land Board and the Ministry of Economy.
SD Guthrie is expected to record a gain on disposal of approximately RM526 million in the financial year ending Dec 31, 2026.
Barring any unforeseen circumstances, the proposed land disposal is expected to be completed by the second half of 2026.
This will be SD Guthrie's second land disposal in six months after it disposed of 1,195.35 acres of freehold land in Jimah, Port Dickson, Negeri Sembilan, for a total cash consideration of RM572.76 million to Eco Business Park 7 Sdn Bhd (EBP7).
The EBP7 SPA was completed on Sept 25, 2025.
This would also be the second venture with EcoWorld following the April agreements entered into with SD Guthrie and NS Corporation to develop EBP7 in Malaysia Vision Valley 2.0, Negeri Sembilan.