Sunway Healthcare's (KLSE:SHH) subsidiary Sunway Medical Centre has entered into a sale and purchase agreement with Sunway Sentral Seremban for the acquisition of freehold land in Bandar Seremban, Negeri Sembilan, for 10.8 million ringgit.
The acquisition is a related party transaction, as Sunway Sentral Seremban is a 70%-owned subsidiary of Sunway City Sdn Bhd, which in turn is a wholly-owned subsidiary of Sunway (KLSE:SUNWAY), while Sunway City also holds a 69.4% equity interest in SHH.
The SPA is conditional upon the issuance of an individual title to the land in the name of Sunway Sentral Seremban, with the condition precedent to be fulfilled within 18 months plus an automatic three-month extension.
SMC undertakes to develop and operate a medical centre as the primary use of the land, with completion expected in the first quarter of 2028, subject to contractual and development risks.