Tek Seng Holdings Bhd’s subsidiary, Wangsaga Industries Sdn Bhd (WISB), has recently entered into two separate sale and purchase agreements (SPA) to acquire three parcels of freehold land in Penang for a total cash consideration of RM33.96 million. The polyvinyl chloride (PVC) sheeting manufacturer announced the acquisition in a filing with Bursa Malaysia.

WISB has inked a SPA with Bagan Specialist Centre Sdn Bhd to acquire a land parcel in Seberang Perai Tengah for RM26.98 million, while another agreement has been made with Tan Chong Siang Sdn Bhd to buy two parcels of land in Seberang Perai Tengah for RM6.98 million.

Tek Seng stated that the purchase consideration would be funded by internally generated funds and/or bank borrowings. The acquisition is consistent with the company’s strategy of acquiring land banks near its current factories for potential investment and expansion purposes.

Tek Seng had purchased adjacent land parcels in 2021, and with the newly acquired land, the company’s total land holdings in that area will be 14 hectares.