EONMETALL SUBSIDIARY SEEKS TO SELL KLANG LAND FOR RM273.28 MLN

KUALA LUMPUR, March 19 (Bernama) -- Eonmetall Group Bhd’s (EGB) wholly owned subsidiary Eonmetall Land Sdn Bhd has entered into a conditional agreement to dispose of a parcel of freehold land in Klang, Selangor, to WG Malaysia VIII Sdn Bhd for RM273.28 million.

The land, measuring about 2.88 million square feet, is classified for industrial use.

In a filing with Bursa Malaysia today, EGB said the proposed disposal is deemed a related party transaction under the Main Market Listing Requirements due to the interests of certain directors and major shareholders in the transaction.

“The proposed disposal presents an attractive opportunity to the group to monetise the land as the purchaser has identified the land as part of a larger parcel for its information technology (IT) infrastructure development.

“In this regard, the disposal consideration reflects the value of the land with potential for IT infrastructure development, yielding a premium over similar land for typical industrial use,” the materials handling system manufacturer said. 

EGB, which incurred a net loss of RM47.31 million in the financial year ended Dec 31, 2025, said the proposed disposal would allow the group to unlock the value of the land at an attractive price and is expected to strengthen its financial position.

 “The group is expected to record a net pro forma gain attributable to the owners of the company of about RM57.82 million,” it said.

EGB said the proceeds from the exercise will mainly be used to repay borrowings, fund working capital and finance potential acquisitions. 

The completion of the disposal is subject to approvals from shareholders and relevant authorities, and is expected to be finalised in the second half of 2026, it added. 

Wyncorp Advisory Sdn Bhd has been appointed as the independent adviser to assess whether the proposed disposal is fair and reasonable for the non-interested EGB shareholders and whether it is to their detriment.

-- BERNAMA