KUALA LUMPUR (Nov 13): Property firm BCB Bhd (KL:BCB) has signed agreements to acquire four adjoining parcels of freehold golf course land in Batu Pahat, Johor, for RM110.91 million from a company linked to Berjaya Property Bhd (KL:BPROP).
According two bourse filing on Friday, BCB units Amber Vista Property Development Sdn Bhd and Banang Central Development Sdn Bhd have signed separate sale and purchase agreements on Friday with Indah Corp Bhd, the operator of Bukit Banang Golf & Country Club.
BCB intends to explore development opportunities once the acquisition of the lands is completed, and assesses the gross development value of projects across all four parcels to be RM1.1 billion.
“The acquisition is in line with the group's long-term growth strategy to strengthen and expand its existing land bank, thereby providing a sustainable pipeline of future property development projects,” BCB said.
BCB said it was premature to determine project costs, timelines or expected profit margins, as any development would require the relevant regulatory approvals and planning remains at an early stage.
The separate filings showed that Amber Vista Property Development will acquire three parcels measuring 433,977 sq m for RM74.74 million, while Banang Central Development will buy a 210,000 sq m parcel for RM36.17 million.
Taken together, the parcels cover about 64.4 hectares in Mukim Simpang Kanan, Batu Pahat. Both purchases are priced at RM16 per sq ft, bringing the combined purchase value slightly below the RM112 million valuation by CBRE WTW Valuation & Advisory Sdn Bhd on Nov 12.
The seller is Indah Corp, which wholly owned by Berjaya Vacation Club Bhd, which in turn is wholly owned by Berjaya Property Bhd (KL:BPROP), a subsidiary of Berjaya Corp Bhd (KL:BJCORP).
Under the agreements, the purchases are conditional upon each other and must be completed simultaneously. BCB must complete the acquisitions even if land conversion, planning or development approvals are delayed or not obtained. Indah Corp, meanwhile, is required to cease golf course operations and ensure the land is vacated before handing over possession.
BCB will fund the purchases through internally generated funds and bank borrowings, with the funding mix to be determined. The filings cited audited cash and cash equivalents of RM29.9 million as at June 30, 2026, while its latest quarterly earnings report showed it has total borrowings of RM305.47 million.
The acquisitions are expected to be completed in the first half of 2027 and do not require shareholder approval.
BCB shares closed unchanged at 22.5 sen on Friday, valuing the group at RM92.81 million. The stock has fallen 10% year to date.