Magna Prima to buy land in Selayang

Plans to build a gated and guarded residential community

Magna Prima Bhd (MPB) through its wholly-owned subsidiary Crossborder Team (M) Sdn Bhd has entered into a sale and purchase agreement with Muafakat Kekal Sdn Bhd to acquire a piece leasehold land in Selayang.
 
The proposed purchase price of RM16.5 million will be raised from the issuance of 8.25 million new shares of RM1 each in MPB at an issue price of RM2 per MPB share. The leasehold land has 89 years of remaining lease.
 
MPB has the intention to develop the land into a residential gated and guarded community comprising 90 units of two-and-a-half storey terrace houses with an estimated gross development value of RM70 million.
 
According to MPB, this acquisition is in line with their strategy to develop strategically-located land in high-density areas, with easy accessibility and significant gross development value, for the development of lifestyle-themed projects within a short turnaround time.
 
MPB also said that the acquisition is expected to be completed by 1Q 2010, barring any unforeseen circumstances and subject to receipt of all relevant approvals.