KUALA LUMPUR (Aug 27): Crescendo Corp Bhd (KL:CRESNDO) said the buyer of its freehold industrial land in Kota Tinggi, Johor has defaulted on the balance of the purchase consideration.
The company’s unit, Crescendo Development Sdn Bhd, has issued a written notice to the buyer, MSFusion Sdn Bhd, over its default on RM225.91 million in outstanding payment obligations as at Aug 26, plus late payment interest, according to a bourse filing on Thursday.
Crescendo noted that if the buyer fails to remedy the defaults within a 14-day period, its unit will be entitled to terminate the sale and purchase agreement.
The outstanding RM225.91 million comprises the balance purchase price of RM222.73 million and outstanding reimbursement sum of RM3.18 million.
Crescendo Development inked the deal to sell the 52.54-acre freehold industrial land to MSFusion for RM263.2 million in August last year. The deal had turned unconditional on April 27 this year.
MSFusion is a unit of Singapore-based Megaspeed International Pte Ltd, according to Crescendo's initial filing on the land deal.
Shares of Crescendo ended one sen or 0.8% lower at RM1.24 on Thursday, valuing the company at RM1.05 billion.