MB World to develop land in Johor Baru
MB World Group Bhd’s wholly owned subsidiary, MB Max Sdn Bhd, has entered into a development rights agreement (DRA) with Shiya Sdn Bhd to develop 2.53ha of land within Sierra Perdana, Plentong, Johor Baru.
“The DRA will provide the group with the development rights to develop 406 units of apartment with an estimated gross development value of RM176 million, as opposed to the outright purchase of landbank which will require significant cash outlay.
“This is consistent and in line with the group’s strategic direction to focus on property development activities to sustain its growth through acquisitions, joint ventures or other arrangements with land owners,” the group said in a filing to Bursa Malaysia yesterday.
The group said the DRA will not have any material effect on its earnings for the financial year ending Dec 31, 2018, but will contribute positively to future earnings, it said.
“Any profit attributable to the group would be realised in stages over the tenure of the project based on the progress of the project,” it added. — Bernama
Source: https://themalaysianreserve.com/2018/06/26/mb-world-to-develop-land-in-johor-baru/