PETALING JAYA: EcoFirst Consolidated Bhd is set to acquire the remaining 49% stake in BCM Holdings Sdn Bhd for RM78.4 million, granting it full ownership.
The acquisition will see EcoFirst obtain full ownership of 4.18 acres of freehold land in Sungai Besi.
According to a filing with Bursa Malaysia today, EcoFirst entered into a conditional share sale agreement with Tan You Tiong for the proposed acquisition. Upon completion of the acquisition, BCM will become a wholly-owned subsidiary of EcoFirst.
EcoFirst CEO Tiong Kwing Hee said the strategic location of the land will be beneficial for the group.
“We are positive on the prospects of the development plans of BCM Properties and the strong take up rate during the recent soft launch, which has been convincing,” he said in a statement.
The development projects are located along Jalan Satu, Chan Sow Lin in Kuala Lumpur and have been approved by Kuala Lumpur City Hall.
Upon completion, the projects are expected to generate RM288 million in positive net cash flow for EcoFirst.
The RM78.4 million for the 49% equity will be fully funded by a combination of internally generated funds and bank loans.
EcoFirst had acquired 51% equity in BCM for RM81.6 million in April last year.
