MIYOSHI LIMITED Finalizes RM6 Million Property Disposal in Malaysia: What Investors Need to Know

Key Points from the Announcement

• Completion of Significant Asset Disposal: Miyoshi Limited has officially completed the sale of a piece of industrial land and a factory building in Johor, Malaysia for an aggregate consideration of RM6,000,000 (approximately S\$1,811,000).
• Details of the Property Sold:
  • A 0.5666-hectare plot of land in Mukim Senai, District of Kulai, Johor, Malaysia, with a registered lease expiring on 22 August 2025 and extended to 22 August 2055 via a recent lease extension agreement.
  • The factory building located at PLO 122, Jalan Cyber 5, Kawasan Perindustrian Senai (Fasa 3), 81400 Senai, Johor, Malaysia.
• The Transaction: The sale was completed in accordance with the terms and conditions of the Sale and Purchase Agreement (SPA).
• Management Statement: The announcement was made by Sin Kwong Wah Andrew, Executive Director and CEO of Miyoshi Limited.

Why This Matters to Shareholders

• Potential Impact on Financials: The disposal of a significant asset could have a material impact on the Group’s balance sheet, potentially strengthening its cash position and financial flexibility. Investors should look out for subsequent announcements detailing how this cash will be utilized—whether for debt reduction, reinvestment, or shareholder returns.
• Lease Extension Implications: The property included a lease extension agreement, which may have increased the attractiveness and value of the asset prior to sale.
• Share Price Sensitivity: Large asset disposals are typically price-sensitive events. The successful completion of the transaction at the stated valuation may influence investor sentiment, especially if it is seen as a strategic move to unlock value or reposition the Group’s asset portfolio.
• Regulatory Assurance: The announcement was reviewed by the Company’s sponsor, SAC Capital Private Limited, but not examined or approved by the SGX-ST. Investors should note that the Singapore Exchange assumes no responsibility for the contents of the announcement.

Detailed Transaction Timeline and Considerations

Miyoshi Limited first announced the proposed disposal on 27 December 2024. The asset consists of land with an initial 30-year lease (1995-2025), now extended for another 30 years (2025-2055), and an operational factory building. The sale price of RM6,000,000 was subject to the terms of the SPA, which have been met, culminating in the completion announced on 6 October 2025.

Such transactions can signal important strategic shifts, including possible redeployment of capital, focus on core operations, or responses to market conditions. The explicit mention of the lease extension agreement prior to the sale underscores the company’s efforts to optimize the asset’s value.

Investor Actions and Next Steps

• Monitor for further updates on the use of proceeds and any financial disclosures in upcoming quarterly reports.
• Watch for strategic commentary from management regarding future plans, potential acquisitions, or capital return policies as a result of the strengthened balance sheet.
• Assess how this disposal fits within Miyoshi Limited’s overall corporate strategy and any implications for recurring revenue or operational footprint in Malaysia.

Disclaimer

This article is for informational purposes only and does not constitute investment advice. Investors are advised to conduct their own research and consult a professional financial advisor before making any investment decisions based on company announcements.

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