Ibraco to sell land in Kuching

Ibraco Bhd plans to dispose of 6.48 hectares of mixed zone land in Kuching, Sarawak to Wansa Realty Sdn Bhd for RM14.18 million cash.

In a filing to Bursa Malaysia today, Ibraco said the demand for office and exhibition buildings was expected to be limited.

"The disposal will avoid potential holding cost. In addition, the sale consideration is approximate 2.7 per cent above the market value of the land," it said.

Ibraco said the disposal was expected to derive a gross profit of RM10.64 million for the year ending Dec 31, 2010.

"It is expected to be completed within five years and the sale proceeds will be used for working capital," it said.

By Bernama