KUALA LUMPUR: Utusan Malaysia (M) Bhd has agreed to sell a five-storey corner shop office in Seksyen 14, Petaling Jaya to Eden Resources Sdn Bhd for RM7mil.
Net proceeds from the disposal will be utilised to fund working capital requirements and finance its day-to-day operations, the newspaper publisher said in a filing with the stock exchange on Tuesday.
“The proposed disposal provides an opportunity for Utusan to unlock the immediate value of the property,” it said.
The original cost of the investment made in December 1995 was RM4.82mil and the net book value of the property based on the latest audited financial statements as at Dec 31, 2017 was RM2.7mil.
“The board is of the opinion that the proposed disposal is in the best interest of Utusan Group as the proposed disposal will enable Utusan to raise funds for the working capital requirements,” it said.
Utusan has been classified as a Practice Note 17 (PN17) company by Bursa Malaysia in August, denoting its financials were inadequate as a listed entity.