Type: Announcement
Subject: Proposed acquisition of a piece of freehold land held under
Geran No. 7724, Lot no. 40511, in the Mukim and district of Kuala Lumpur,
Wilayah Persekutuan
Contents
1. INTRODUCTION
Metacorp Berhad ("Metacorp") wishes to announce that it had today been
advised by the solicitors for Landview Tower Sdn Bhd ("Landview"), a
wholly owned subsidiary of Metacorp, that Landview had on 19 May 2006
entered into a Sale and Purchase Agreement ("SPA") with Encik Ahmad
Fauzi bin Ali ("the Vendor") for the purpose of acquiring a piece of
freehold land held under Geran No. 7724 for Lot No. 40511, in the Mukim
and District of Kuala Lumpur, Wilayah Persekutuan measuring
approximately 1162 square meters (12,508 square feet) ("Land") for a
total purchase consideration of RM3,127,000.00 (Ringgit Malaysia: Three
Million One Hundred Twenty Seven Thousand) only upon the terms and
conditions as stipulated in the said SPA ("Proposed Acquisition").
2. DETAILS OF THE PROPOSED ACQUISITION
2.1 DESCRIPTION OF THE LAND
2.1.1 The Land consist of a piece of vacant residential freehold land
located in Jalan Medang Tanduk, Bangsar, Kuala Lumpur identified as Lot
40511 measuring approximately 1162 square meters or 12,508 square feet
in area.
2.1.2 The land is next to the two pieces of land acquired by Landview in
2005 for development.
2.2 THE VENDOR
The Vendor is an individual who is the registered owner of the Land.
2.3 BASIS OF THE PURCHASE CONSIDERATION
The purchase consideration of RM3,127,000.00 ("Purchase Consideration")
which is at RM250.00 per square feet was arrived at on a willing-buyer
willing-seller basis.
2.4 SALIENT TERMS OF THE SPA
The salient terms of the SPA, are, inter alia, as follows:-
2.4.1 Landview shall acquire the Lands on an 'as is where is' basis but
otherwise free from encumbrances and with vacant possession and subject
to the terms and conditions of the SPA.
2.4.2 The Purchase Consideration shall be fully settled in cash by
Landview in the following manner:-
(i) 10% of the Purchase Consideration (RM312,700.00) upon signing of the
SPA ("Deposit");
(ii) 90% balance of the Purchase Consideration (RM2,814,300.00) within
90 days from and including the date of the SPA ("Completion Date").
2.4.3 The Vendor shall deliver vacant possession of the Land within 3
working days upon full payment of the Purchase Consideration.
2.5 RATIONALE OF THE PROPOSED ACQUISITION
2.5.1 The Proposed Acquisition will enable Landview to enlarge the scale
of development.
2.6 EFFECT OF THE PROPOSED ACQUISITION
2.6.1 The proposed acquisition will not have any effect on the share
capital and the substantial shareholding of Metacorp.
2.6.2 The proposed acquisition is not expected to have any material
effect on the net assets of Metacorp for the financial year ending 2007.
2.6.3 The proposed acquisition is expected to enhance the future
earnings of Metacorp when the proposed development comes onstream.
2.7 SOURCE OF FUNDING
The proposed acquisition and the development costs for the proposed
development will be funded by internally generated funds.
3. STATEMENT BY DIRECTORS
Having considered all aspect of the proposed acquisition, the Board of
Directors of Metacorp are of the opinion that the transaction is fair
and reasonable and is in the best interest of the Company. The
transaction has not departed from the Securities Commission's Policies
and Guidelines on Issue/Offer of Securities.
4. DIRECTORS' MAJOR SHAREHOLDER' INTEREST
None of the Directors or Major Shareholders of the Metacorp nor persons
connected to them have any direct or indirect interest in the
transaction.
5. DOCUMENTS FOR INSPECTION
The SPA is available for inspection at the Registered Office of Metacorp
during normal office hours from Mondays to Fridays (except public
holidays) for a period of 14 days from the date of this announcement.
This announcement is dated 25 May 2006.
Please visit Bursa Malaysia web site for detailed information.
http://announcements.bursamalaysia.com
