PTT Synergy in RM26mil factory disposal

PETALING JAYA: PTT Synergy Group Bhd (PTTS) is disposing of two units of three-storey detached factories in Sepang, Selangor to MCM Land Sdn Bhd for a total cash consideration of RM26mil.

In a filing with Bursa Malaysia, PTTS said the proposed disposal is deemed part of PTTS’ plan to rationalise its non-core assets.

“PTTS is principally involved in the business of construction contractors and property investment.

“With the proposed disposal, this will reduce PTTS’ operational cost and maintenance cost of the properties.”

PTTS said the proceeds from the disposal of the properties will be used to repay borrowings and settle debts.

The company said the proposed disposal is expected to reduce its gearing level to 1.80 times from 1.88 times previously.

“The proposed disposal is not expected to have any material effect on the earnings and consolidated earnings per share of PTTS and its subsidiaries for the financial year ending June 30, 2024,” it said.