Berjaya Land to sell Berjaya Leisure stake for RM9.21m

PETALING JAYA: Berjaya Land Bhd's (BLand) wholly-owned subsidiary Berjaya Leisure (Cayman) Ltd (BL Cayman) has entered into an agreement for the proposed disposal of its entire 100% stake in Berjaya Investment Holdings Pte Ltsd (BIH) to Singapore Institute of Advanced Medicine Holdings Pte Ltd (SIAMH) for S$2.97 million (RM9.21 million), to be satisfied via an issuance of new SIAMH shares.

SIAMH is an associated company of BLand.

BLand told Bursa Malaysia that concurrent with the proposed disposal, BL Cayman will novate the debt owing by BIH of S$11.20 million to SIAMH, to be satisfied via an issuance of new SIAMH shares.

In addition, BL Cayman will subscribe for additional new SIAMH shares for S$3.82 million cash. Upon completion, BL Cayman's stake in SIAMH will increase from its current shareholding of 21.14% to 34.27%.

"The proposed subscription forms part of a capital raising exercise currently being undertaken in stages by SIAMH to raise funds for its capital expansion project in Singapore, which includes the construction of a proton therapy centre," BLand said.

BIH is principally an investment holding company and owns five medical suites in Singapore. The SIAMH group, meanwhile, is involved in the provision of medical laboratory services and the carrying on the business of clinic and other general medical services, sale of pharmaceuticals, surgical and consumables.

The proton project involves the construction of a cancer treatment centre to be known as the Advanced Medicine Oncology Centre (AMOC) in Biopolis, which is an international biomedical research hub in Singapore. On completion, AMOC is expected to provide world-class imaging, treatment delivery and clinical informatics technologies for healthcare professionals and researchers and is also expected to be the first private centre to have the "Varian Compact Proton Therapy" system in Asean, Australia and New Zealand.

Proton therapy is a form of radiation therapy using proton beam instead of conventional photons or x-rays, which reduces significantly collateral tissue damage with no or mild radiation sickness.

BLand said the corporate exercise, which will result in a gain of about RM11.98 million, represent an opportunity for the group to increase its investment in SIAMH.

BLand closed unchanged at 40 sen on Friday with 145,500 shares traded.