KUALA LUMPUR: Abad Naluri Sdn Bhd is buying 126.04 acres of land in Batu Kawan, Penang from the Penang Development Corp (PDC) for RM16.75 million cash consideration.

Equine Capital Bhd said on Friday, April 1, that Abad Naluri would then nominate Penaga Pesona Sdn Bhd – a unit of Equine Capital – to accept the transfer of the land upon the acquisition.

Equine Capital said this had been agreed upon under a share sale and purchase agreement on Feb 12, 2007 where Equine Capital acquire Penaga Pesona for RM12 million from Abad Naluri.

Abad Naluri's investment in Penaga Pesona was RM250,000 and the latter was then the owner of 450 acres of land in Batu Kawan. In October 2008, Equine had disposed of its 25% stake in Abad Naluri.

Equine said the 126.04 acres of leasehold land which would be acquired from PDC had a tenure of 99 years. The site would be used for residential and commercial properties and the gross development value at RM293 million. The site is four km from the Second Penang Bridge on the mainland at Batu Kawan.

Penaga Pesona holds two parcels of land of 178.62 acres in Crescentia Park, Batu Kawan which is contiguous to the existing land.

Equine Capital said the purchase would be financed by its own funds and borrowings

SOURCE: The Edge Property