25-06-2025
- Business
- Malaysian Reserve
Sports Toto unit to acquire 3 retail units in Berjaya Times Square for RM24.9m
SPORTS Toto Bhd's wholly owned subsidiary STM Lottery Sdn Bhd has entered into sale and purchase agreements (SPAs) to acquire three freehold commercial units at Berjaya Times Square, Kuala Lumpur, for RM24.9 million in cash.
The units, located on the ground floor of the integrated commercial complex along Jalan Imbi, are being acquired from Sapphire Transform Sdn Bhd, a wholly owned unit of Berjaya Assets Bhd.
The total floor area is about 1,637 sq ft, translating to a price of around RM15,211 per sq ft.
The acquisition was based on a market valuation of RM25.2 million by Hartanah Consultants.
The properties are currently tenanted and income-generating.
Sapphire had acquired them in April 2012 and carried the units at RM29.47 million in its books as of May 31, 2025.
Under the terms of the SPAs, STM Lottery has paid RM5 million upfront, with another RM5 million due within a month and the remaining RM14.9 million payable within three months of the agreement date, with a one-month extension subject to 8% annual interest.
The acquisition will be funded via a mix of borrowings and internal funds.
The company said the proposed acquisition represents an investment in income-generating assets and offers potential for capital appreciation.
'The board of Sports Toto (except for the interested directors) believes the acquisition is in the best interest of the group,' it said in the filing.
The deal is deemed a related party transaction. Berjaya Corp Bhd is a major shareholder of both Sports Toto and Berjaya Assets.
The acquisition is not expected to have any material impact on Sports Toto's net assets, earnings, or gearing, and is expected to be completed in the second half of 2025. — TMR
