Eden gets RM16.71m compensation for ECRL land

PETALING JAYA: Eden Inc Bhd has received RM16.71 million in compensation for the compulsory acquisition of its 6.39-ha land in Kuantan, Pahang by the government for the East Coast Rail Link (ECRL) project.

“The compulsory disposal is expected to result in a gain on disposal of RM10.93 million,“ Eden said in a filing with the stock exchange.

The acquirer is Malaysia Rail Link Sdn Bhd, a wholly-owned subsidiary of Minister of Finance Incorporated, which has been appointed as the asset and project owner of ECRL.

Eden said in view of the land being currently charged to the bank, the full compensation amount is payable to the bank which is in line with the charge documents, where the proceeds is utilised to pare down the remaining balance of Ijarah loan facility.

Eden, which is engaged in food and beverage, energy and manufacturing segments, is linked to Datuk Fakhri Yassin Mahiaddin, the son of Prime Minister Muhyiddin Yasin.

Its shares shot up 38.5% to 27 sen on Monday after Muhyiddin was appointed as the eight premier. However, it was down 14.8% to 23 sen due to profit taking on Tuesday.

At the midday break, Eden’s share price gained 1.5 sen to 24.5 sen on 20.95 million shares done.