Monday, 16 January 2017

(NST) HIL Industries flexes into property sector

KUALA LUMPUR: HIL Industries Bhd is flexing its way into the property sector, acquiring two companies with approved proposed development projects in Selangor with a combined gross development value (GDV) of RM375.2 million. 

The plastic solutions provider, which aims reduce its reliance on manufacturing, said its unit AMJ Construction Sdn Bhd was acquiring 100 per cent equity interest in Show Piece Sdn Bhd for RM49 million and 99 per cent in A&M Concrete Products Sdn Bhd for RM22 million from the family of HIL’s chairman Tan Sri Ng Boon Thong. 

Show Piece’s subsidiary Innocentral Sdn Bhd owns 858,083 sq ft in Sungai Jati, Klang, where about 73 per cent of the freehold land, spanning 624,219 sq ft, has been approved for development into 184 units of double-storey terraced house plots and eight units of double-storey semi-detached house plots with a GDV of RM196.60 million. 

Meanwhile, A&M Concrete owns freehold land measuring 175,547 sq ft in Bukit Kemuning, Shah Alam, which has been approved for the development of 280 units within three blocks of apartment units as well as nine units of stratified three-storey shops. The project, with a GDV of RM178.64 million, is expected to be launched in the second quarter of 2017. 

HIL has appointed Affin Hwang Investment Bank Bhd as the independent adviser to advise the non-interested directors and non-interested shareholders of the company on whether the terms of the proposed acquisitions are fair and reasonable. 

HIL group has two ongoing projects including the development of cluster semi-detached homes and link houses in the Kota Kemuning area; Kemuning Greenhills and Kemuning Hijauan 2.