KUALA LUMPUR (Dec 14): AmanahRaya Real Estate Investment Trust (REIT) has proposed to sell a piece of freehold land in Shah Alam to Nippon Express (M) Sdn Bhd for RM105 million.
In a filing with Bursa Malaysia, AmanahRaya REIT said proceeds from the disposal will be used to partly settle existing loans from Affin Bank Bhd.
The balance of the proceeds will be used for working capital or to partly finance the group’s future potential acquisition, the filing added.
AmanahRaya REIT said the disposal consideration was derived on a willing buyer-willing seller basis, after taking into account the total market value of the land of RM102 million, as appraised by an independent valuer.
The valuation, which was conducted in November, is derived using the cost and comparison methods of valuation.
Following the disposal, AmanahRaya REIT will see an estimated net gain of about RM2.4 million.
AmanahRaya REIT’s share price rose 0.55% or 0.5 sen to 91.5 sen today, with 56,500 shares traded, for a market capitalisation of about RM524 million.