Johor Corporation Bhd (JCorp), the state-controlled investment arm of Johor, will increase its presence in property and facilities management in Malaysia via a strategic stake in Damansara Holdings Bhd (DBhd).
The Johor-based group is acquiring a 49.57 per cent stake in DBhd for RM78.91 million.
It offered to buy the stake comprising 157.82 million shares at 50 apiece from Seaview Holdings Sdn Bhd via a special purpose vehicle, Absolute Ambient Sdn Bhd (AASB), DBhd said in a stock exchange filing yesterday.
Seaview Holdings is linked to businessman Datuk Daing A Malek Daing A Rahaman. In February 2014, he acquired 157.78 million shares in DBhd from JCorp at 50 sen a share, for a total of RM78.89 million.
Daing A. Malek, who has more than 30 years of experience in real estate, property development, construction and material supplies, was appointed to the board on May 26, 2014.
He stepped down as executive vice-chairman of DBhd in December 2018 after expressing his intention to retire from his post at a board meeting.
DBhd is involved in property development, facilities management and provides consultancy services for the property, healthcare, energy and construction sectors.
The company noted in the filing that JCorp recognises that its business complements the real estate and infrastructure segment of the JCorp group.
Five main companies operate under JCorp's real estate and infrastructure segment - Johor Land (JLand) Bhd, TPM Technopark Sdn Bhd, Damansara Assets Sdn Bhd (DASB), Damansara REIT Managers Sdn Berhad (DRMSB), and REITTLP Terminal Sdn Bhd.
JLand, the developmental arm of JCorp, builds well-planned developments and houses. Over the last 48 years, it has become a dominant player in Johor's property sector. It can identify market preferences and developing new products in line with market needs.
According to its website, JLand has a strategic landbank of about 770 hectares in Iskandar Malaysia, Johor, earmarked for future developments.
TPM Technopark provides project management services for commercial and industrial developments and sales and promotion services for industrial lands and properties owned by JCorp. It has a few industrial projects, namely Pengerang Industrial Park, Tanjung Langsat Industrial Complex, and Kulai Iskandar Data Exchange.
DASB is the property services arm of JCorp. It provides integrated asset lifecycle management services and solutions for commercial, industrial, healthcare, residential and government properties.
DRMSB is focused on Real Estate Investment Trusts (REITs). The only REIT manager in Malaysia manages two REITs, namely Al-`Aqar Healthcare REIT and Al-Salām REIT.
