Mechanical and electrical engineering services company Bintai Kinden Corp Bhd plans to make a comeback to the property development business.
In a filing with Bursa Malaysia, Bintai Kinden proposed to diversify its current operations by undertaking two mixed property project – one in Penang and another in Melaka.
In George Town, Penang, Bintai Kinden plans to build and manage a 21-storey lifestyle condotel to be known as “Holistica Penang” on a 0.6-acre land.
Meanwhile, it has proposed the development of a wellness-themed mixed development project in Melaka Tengah on a 4.74-acre land.
The project, to be known as Holistica Melaka, will comprise wellness condotels, wellness condominiums, retirement and lifestyle apartments, wellness club as well as a medical specialist centre.
“The mixed development projects are expected to contribute 25% or more of the net assets and net profits of the Bintai Kinden group, ” it said, adding that the proposed diversification is subject to shareholders’ approval.
To fund the proposed property developments, Bintai Kinden has announced its plan to place out up to 30% of existing ordinary share base to independent investors to be identified later.
“Based on the indicative issue price (of 51 sen per new share), the proposed private placement will raise gross proceeds of RM58.43mil, ” it said.