PETALING JAYA, 29 Jan: Tropicana Corp Bhd’s wholly owned unit Tropicana Plaza Sdn Bhd yesterday entered into an agreement with Kenanga Investment Bank Bhd to sell its Dijaya Plaza tower in Kuala Lumpur for RM140 million in cash.
The asset sale comprises a piece of freehold land measuring approximately 3,674 sq m together with an en-bloc 19-storey office tower known as Dijaya Plaza with two levels of basement car park.
Arising from the disposal of Dijaya Plaza, the cash inflow is expected to improve the group’s financial position by freeing up net proceeds of about RM51.6 million.
Based on Tropicana’s unaudited results as at Sept 30, 2015, the group’s total borrowings will reduce to RM1.66 billion from RM1.74 billion, resulting in further improvements in the net gearing position of the group.
Kenanga Investment Bank Bhd is the largest independent investment bank by equity trading volume and value, as well as one of the top three brokerage houses with the largest network of remisiers in the country.