CCB had announced last week that it planned to divest seven adjacent lands in Pulai for RM117.02 million cash.

In a bourse filing today, CCB announced that its wholly owned subsidiary Panoramic Industrial Development Sdn Bhd (PID) has entered into a conditional sale and purchase agreement with Yu Ao Sdn Bhd (YASB) for the disposal of the nine land parcels.

The group said it anticipates a consolidated gain after taxation of around RM68.33 million following the transaction.

The freehold vacant lands, divided into Parcel A and Parcel B, encompass a combined land area of approximately 82,496.4 sq m, equivalent to around 887,983.86 sq ft.

“The lands were acquired during the period from March 24, 2005 to Feb 28, 2008 and the cost of the investment as of Jan 31, 2023 was approximately RM12.91 million,” the filing read.

The sale consideration of RM111 million is determined based on a rate of RM125 psf, the group said.

However, the final purchase price may rise to RM127 psf on the successful obtaining of the Tenaga Nasional Bhd (TNB) power main switching station (SSU) waiver.

This would mean that the final purchase price for Parcel A will be increased to RM59.7 million if the waiver is obtained and for Parcel B, it would rise to RM53.1 million.

The funds from the sale are designated for the development of the remaining landbank owned by the CCB Group and PID, as well as to furnish working capital and settle existing liabilities of both parties.

The disposal is expected to be completed in the third quarter of 2024 (Q3 FY2024).

PID is mainly involved in light industrial estate development and investment holding activities.

YASB engages primarily in data processing activities, services, and the provision of hosting infrastructure and related services.

At the close of trade, Crescendo’s share price rose 3 sen or 2.21% to RM1.39, valuing the company at RM389.84 million.