PETALING JAYA, Dec 4: Malaysia Resources Corp Bhd (MRCB) is selling its 33-storey office tower, namely Menara Shell, to MRCB-Quill real estate investment trust (MQ Reit) for RM640 million.
In a filing with Bursa Malaysia yesterday, MRCB said its subsidiary 348 Sentral Sdn Bhd has entered into a heads of agreement (HoA) with Maybank Trustees Bhd (MTB), acting as trustee for MQ Reit for the office tower disposal, together with a 5-storey podium and 4-storey basement car park erected on part of the freehold land.
MRCB said the RM640 million purchase consideration is based on the valuation of C H Williams Talhar and Wong Sdn Bhd, an independent valuer appointed by MRCB, and will be satisfied by MQ Reit via a combination of cash and consideration units.
MRCB said the proposed disposal is subject to a sale and purchase agreement (SPA) to be entered into by MTB and 348 Sentral within 30 business days from the HoA date (cut-off date), with an automatic extension of a further 30 business days.
It noted that if MQ Reit is unable to complete its due diligence investigations by the cut-off date, the further extension of time may be mutually agreed.
Meanwhile, MRCB Quill Management Sdn Bhd’s CEO Yong Su-Lin said the office tower is strategically located and has good quality property with reputable tenants that generates a stable and growing income stream.
“Hence, subject to the satisfactory due diligence exercise to be completed, we believe that the proposed acquisition would fit well with MQ Reit’s investment objective and provide a good opportunity to grow MQ Reit’s portfolio and expand its foothold into KL Sentral,” she added.
MRCB has appointed Astramina Advisory Sdn Bhd as the financial adviser for the proposed disposal.
MRCB closed one sen lower at RM1.26 yesterday, with 1.24 million shares traded.
— THE SUN