KUALA LUMPUR, L&P Global Bhd, a manufacturer of industrial packaging products, is selling a leasehold industrial property in Kulim, Kedah, for RM13.88 million in cash as part of efforts to unlock value from underutilised assets and strengthen its liquidity.
In a filing with Bursa Malaysia, the group said its wholly owned subsidiary, Berjayapak Sdn Bhd, is disposing of the asset — which includes a double-storey factory and a single-storey office — to General Point Asset Sdn Bhd.
The property spans approximately 11,171 sq m and carries a 60-year leasehold tenure expiring in 2064. It is currently charged to CIMB Islamic Bank Bhd.
L&P expects to record an estimated gain of RM3.61 million from the disposal, after accounting for the property’s net book value of RM9.14 million and associated transaction costs.
Proceeds from the sale will be channelled toward improving the group’s working capital and overall financial flexibility to support its future expansion plans. The transaction is anticipated to be completed within three months, subject to the fulfilment of all conditions.
As of June 30, 2025, L&P reported cash and bank balances of RM38.03 million and total borrowings of RM26.15 million, translating to a net gearing ratio of about 0.25 times based on total equity of RM103.9 million.
Shares in L&P ended unchanged at 11.5 sen on Friday, valuing the group at RM64.49 million. The counter has declined over 55% year-to-date.
