KUALA LUMPUR: Westports Holdings Bhd’s unit, Westports Malaysia Sdn Bhd, has entered into a conditional sale and purchase agreement with Pembinaan Redzai Sdn Bhd to acquire a parcel of leasehold land in Klang, Selangor for RM393.96 mil.
Westports, in a filing with Bursa Malaysia today, said the proposed acquisition would be used for the development of container terminal (CT) facilities that will form part of its proposed expansion plans involving the construction of eight additional berths comprising CT 10 to CT 17.
“The current CT facilities comprising CT 1 to CT 9 are operating at a utilisation rate of approximately 77% of its total terminal handling capacity and we expect them to reach near-full utilisation within the next few years,” it said.
As part of its proactive management strategy, the group intends to undertake a periodic increase in its CT capacity to meet the projected throughput demand as well as to remain competitive in the industry.
Westports intends to fund the purchase through internally generated funds and bank borrowings.
It envisages the entire proposed expansion to be undertaken over a period of 25 years.
Meanwhile, it said the proposed land acquisition is expected to be completed by the fourth quarter of 2020. – Feb 7, 2020, Bernama
