Day: January 11, 2024

KUALA LUMPUR: Bina Darulaman Bhd (BDB) and OIB Properties (KV) Sdn Bhd will collaborate to build a housing project in Kubang Pasu, Kedah, with a gross development value of RM187.68 million.

The housing project, known as Darulaman Saujana Phase 2, which is a part of the Darulaman Saujana township, will feature 782 single-storey terraced homes.

BDB announced to the stock market today that it has signed a joint venture agreement to collaborate as strategic joint venture partners on the proposed development with OIB.

It stated that, as part of the joint venture consideration, it will get a 25 per cent share of the GDV from OIB, or RM46.92 million.

Being the landowner, BDB will grant OIB development rights so that OIB can plan, construct, and complete an affordable housing scheme in the township.

According to BDB, the project’s development aligns with both parties’ strategic plans to successfully execute the development by collaborating to capitalise on their respective strengths in construction and property development.

It said a joint venture would be a common business strategy used in coming together to grow faster, increase productivity, and generate the desired profit from the development of the Darulaman Saujana township.

“This will be a strategic opportunity for both parties through shared investment.

and expenses, thus alleviating some of the financial burden placed on each

company and which can bring down the costs on an overall basis,” it said.

Both parties will complete developing Darulaman Saujana, which will help supply the B40 and M40 target market with reasonably priced homes in keeping with the objectives and vision of the state, it said.

BDB said that OIB shall be responsible for paying and bearing the development costs incurred from the date of the commencement of this agreement.

It also said that OIB would start development work once the developer obtained all required licenses, permits, and planning approvals, or until vacant possession of the development land was obtained.

The completion date of the project shall be within 72 months from the commencement date of the agreement.

BDB said the proposed joint venture will increase net assets of the company by RM0.02 to RM1.58 per ordinary share, based on the audited financial statements as at Dec 31, 2022.

https://www.nst.com.my/property/2023/12/993027/bina-darulaman-oib-properties-collaborate-rm18768mil-housing-project-kedah#google_vignette

https://www.dagangnews.com/article/bina-darulaman-oib-properties-bekerjasama-bina-perumahan-dengan-gdv-lebih-rm187-juta-di-kedah-33504?fbclid=IwAR3OPfwJJibjCyrxvHMYVejVwaAI2Vr6id4hlk3yYBMIf1KNJvJu2Xa7Kd8

KUALA LUMPUR (Dec 21): The Kedah government’s investment holding company, Bina Darulaman Bhd (BDB), has entered into a joint venture agreement (JVA) with OIB Properties (KV) Sdn Bhd to develop 782 affordable single-storey terrace homes in Kubang Pasu, Kedah.

BDB, as the land owner, will provide development rights to OIB to build the affordable housing scheme on a plot measuring 53.75 acres in the Darulaman Saujana township, said BDB in a bourse filing on Thursday. OIB will bear the development costs.

In return, BDB will be entitled to a revenue share of 25% or RM46.92 million based on the residential project’s gross development value (GDV) of RM187.68 million.

At the same time, BDB will receive an owner’s entitlement of up to RM28.22 million until the fifth year from the JVA’s effective date (Dec 21). The project is expected to be completed within 72 months.

BDB said the JVA will increase the group’s net assets by two sen per share to RM1.58 per share, based on its audited financial statements as at Dec 31, 2022.

The JVA is also expected to realise an estimated after-tax gain of about RM7.6 million to BDB, which will improve the group’s consolidated earnings per share by three sen for the financial year ending Dec 31, 2023 (FY2023).

For FY2022, BDB recorded a net profit of RM5.6 million, on a revenue of RM231.37 million.

For the nine months ended Sept 30, 2023 (9MFY2023), BDB widened its net loss to RM5.94 million from RM3.75 million in 9MFY2022, due to lower net contributions from its property and engineering, and construction and quarry divisions. This was despite revenue rising 31% to RM182 million from RM138.93 million.

Shares in BDB finished half a sen or 1.82% higher at 28 sen on Thursday, valuing the group at RM83.56 million.

https://www.edgeprop.my/content/1908038/bina-darulaman-ropes-partner-build-782-affordable-homes-darulaman-saujana-township?fbclid=IwAR3fedG0DUjke0GZSIEBd02yJSB_wDXuqLQoJ1jAtl9YxcyxOAoxyhjAzvI