Property News

Eonmetall unit gets RM30m compensation for Klang land

KUALA LUMPUR (Jan 12): Eonmetall Group Bhd’s wholly owned subsidiary Eonmetall Land Sdn Bhd (ELSB) has received a notice of award and offer for compensation from the district and land office of Klang for invoking the compulsory acquisition of 0.9 hectare of industrial land for RM30.41 million.
In a filing with Bursa Malaysia on Friday, the group said the affected land was part of a larger 287.7-hectare land area in Kapar, Selangor, which is currently vacant and held for development.
It said the land was purchased by ELSB in 2019, with an original investment cost of RM57.18 million.
“The compulsory disposal resulted from the receipt of the notice to take possession of the affected land under Section 18 of the Land Acquisition Act 1960,” it said.
Eonmetall said the consideration amount was made during the land hearing held on Nov 28, 2023, based on facts presented by representatives from ELSB and other relevant parties.
“The final amount awarded was subjected to the acceptance of the notice, without any objection by both ELSB and other relevant parties on Jan 11, 2024,” it said.
The group said a RM28.5 million gain from the compulsory disposal would be used for future business expansion, working capital and debt repayment.
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Source: EdgeProp.my