KUALA LUMPUR (March 18): Aquawalk Group Bhd (KL:AQUAWALK) said on Wednesday it plans to develop a new oceanarium in Kota Kinabalu, Sabah, at an estimated cost of RM70.5 million.

Its wholly-owned subsidiary Aquawalk KK Sdn Bhd has signed a 30-year lease for 73,054 sq ft of premises within The Bedrock at Jesselton Docklands for the new oceanarium, to be named 'Aquaria KK'.

The lease was signed with Jesselton Docklands 1 Sdn Bhd, the developer of the Jesselton Docklands project — a joint venture between Suria Capital Holdings Bhd (KL:SURIA) and BEDI Development Sdn Bhd, a 75%-owned subsidiary of EXSIM Development Sdn Bhd.

The project marks Aquawalk’s first venture into Sabah, expanding its portfolio, which includes Aquaria KLCC, Aquaria Phuket, and a 40% stake in Jakarta Aquarium & Safari.

According to the group, Aquaria KK was initially planned as a 60:40 joint venture, though the original partner was not named. But the group has since decided to undertake the project on its own to streamline execution and retain full operational control.

Targeted for completion by 2029, Aquawalk plans to use RM39.6 million from its initial public offering (IPO) proceeds to fund the project, with the balance to be covered by internal funds and bank borrowings.

As at Dec 31, 2025, Aquawalk had RM180.9 million in cash and no borrowings. The group recorded net operating cash flow of RM50.4 million for the financial year ended Dec 31, 2025.

“Our expansion into Sabah strengthens our position in the marine attractions industry and allows us to extend our brand into a high-growth tourism market,” Aquawalk executive chairman Datuk Simon Foong said in a statement.

Once operational, Aquaria KK is expected to enhance the group’s recurring income and strengthen long-term earnings visibility, Foong said.

With a built-up area of 73,054 sq ft, Aquaria KK will be comparable in scale to Aquaria KLCC, which attracts more than one million visitors annually. The new oceanarium is projected to draw about 360,000 visitors a year.

Shares in Aquawalk rose half a sen or 2% to close at 26 sen on Wednesday, giving the group a market capitalisation of RM479.2 million. Listed in November 2025, its IPO was priced at 31 sen per share.