News & Articles Ewein buys land linked to a major shareholder for RM26mil
Ewein buys land linked to a major shareholder for RM26mil
29 Mar 2024
Ewein Bhd is stepping up its game in the provision of services connected to worker dormitory lodgings and workforce management a related party deal.
The property developer and producer of precision sheet metal fabrication is paying RM25.84 million to acquire a plot of unoccupied industrial land in Butterworth, Penang, to build a workers' dormitory.
In a bourse filing, the group stated that Magnum Heritage Sdn Bhd (MHSB) is selling the land to its indirect subsidiary, Delight Island Sdn Bhd (DISB).
DISB was previously owned by HS Land & Property Sdn Bhd, Ooi Eng Leong, Poly FHY Properties Sdn Bhd, and Tah Wah Group Sdn Bhd, who are shareholders of MHSB.
However, in November 2023, Ewein Land Sdn Bhd paid RM100,000 to purchase it.
Ooi is a significant shareholder in both companies. He has a 44.72 per cent interest in Ewein and a 23 per cent stake in MHSB.
Ewein said that its entry into manpower management services might account for as much as 25 per cent of its net profits. The move will cause a future diversion of more than 25 per cent of the group's net assets.
Meanwhile, Ewein said that it will construct a 16-storey worker dormitory block on the 16,004-square metre plot of land that it is acquiring.
The group said that this marks a starting point for their first project, which will allow them to explore the workforce management services industry and generate new revenue.
Ewein said it will use bank borrowings and internal funds to fund the purchase of the land, which it expects will be completed by the second half of 2024.
The property developer and producer of precision sheet metal fabrication is paying RM25.84 million to acquire a plot of unoccupied industrial land in Butterworth, Penang, to build a workers' dormitory.
In a bourse filing, the group stated that Magnum Heritage Sdn Bhd (MHSB) is selling the land to its indirect subsidiary, Delight Island Sdn Bhd (DISB).
DISB was previously owned by HS Land & Property Sdn Bhd, Ooi Eng Leong, Poly FHY Properties Sdn Bhd, and Tah Wah Group Sdn Bhd, who are shareholders of MHSB.
However, in November 2023, Ewein Land Sdn Bhd paid RM100,000 to purchase it.
Ooi is a significant shareholder in both companies. He has a 44.72 per cent interest in Ewein and a 23 per cent stake in MHSB.
Ewein said that its entry into manpower management services might account for as much as 25 per cent of its net profits. The move will cause a future diversion of more than 25 per cent of the group's net assets.
Meanwhile, Ewein said that it will construct a 16-storey worker dormitory block on the 16,004-square metre plot of land that it is acquiring.
The group said that this marks a starting point for their first project, which will allow them to explore the workforce management services industry and generate new revenue.
Ewein said it will use bank borrowings and internal funds to fund the purchase of the land, which it expects will be completed by the second half of 2024.
Source: NST.com.my