The media group said wholly-owned subsidiary Utusan Publications & Distributors Sdn Bhd had inked an agreement to dispose of the buildings to Magna Mahsuri Sdn Bhd.

The proposed disposal provided an opportunity to unlock the immediate value of the properties and enabled the group to raise funds for its working capital requirements, Utusan said in a filing with Bursa Malaysia yesterday.

The net proceeds from the proposed disposal were intended to be utilised partially to fund the working requirements of the group to finance its day-to-day operations, including payment to creditors, administrative expenses and other operating expenses, it added.

The proposed disposal is expected to be completed by the first quarter of 2020.