Johan applies to turn part of land with plant, into RM364.4m GDV mixed development

PETALING JAYA: Johan Holdings Bhd is awaiting approval from Majlis Perbandaran Sepang to develop six acres of the 27 acres where its ceramics tiles manufacturing plant sits, into a RM364.4 million gross development value mixed development comprising service apartments and commercial area.

On Aug 30, 2017, Johan announced it would wind down operations of Prestige Ceramics Sdn Bhd by the end of the current financial year ending Jan 31, 2018.
The board of Johan told Bursa Malaysia in a filing, an application for a development order for the project was submitted on Sept 26, 2017.

The gross development cost, inclusive of re-valued land cost, is projected at RM294.9 million, giving a projected gross development profit of RM69.5 million.
The application process could take up to 12 months. Upon approval, the development period will run for three years.
"The board is of the view that the proposed development is expected to improve Johan group's performance in the future and enable the group to diversify its revenue and earnings base to include property development from its existing Diners Club card services and hospitality businesses," the company said.
Johan's share price was half a sen lower at 24 sen, with some 6.3 million shares changing hands. It has a market capitalisation of RM149.5 million.