Naim sells land to boost working capital and reduce debt

KUCHING: Naim Holdings Berhad (Naim), recently announced the sale of 108.8 hectares of land in Kuching at around RM 223.38mil that was acquired some 16 years ago, as a strategic step to inject working capital and also to pare down part of its debts of some RM437mil as of March 31.

The decision is a part of its ongoing commitment to ensure long-term sustainability of their business operations in the current tight property market.

“This will provide an opportunity to realise gains and unlock the value of its investments after 16 years of holding.

“At the same time, Naim is shifting its focus towards developing affordable homes in line with the state government’s effort to provide affordable housing for the rakyat.

“Naim aims to develop some 10,000 units of affordable housing, the bulk of which is in Miri from the remaining land that they have,” it said in a statement.

The property developer added that the initiative is part of its assurance towards its stakeholders that this sale is conducted with the utmost respect for our core corporate values and with a clear focus on its future.

“We recognise the importance of making prudent financial decisions that support our continued success and resilience.”

“We are also committed to using the proceeds from this sale to fortify our financial foundation, allowing to continue serving its customers with excellence and to explore new opportunities for growth, especially in Miri where it started.

“This decision aligns with recent trends in the property market, where other prominent developers such as Eco World Malaysia and UEM Sunrise (as evidenced from their regulatory announcements in Bursa Malaysia) are also divesting land assets to strengthen their financial positions.”