Malaysia’s Employees Provident Fund (EPF) has teamed up with Eco World Development Group Bhd (EcoWorld) for the construction of two townships in Penang with a collective gross development value of RM7.76 billion, reported Bernama.
Under the conditional subscription and shareholder agreement (SSA) signed by both parties, the two towns will have a combined area of 152 hectares and will be built by EcoWorld’s subsidiary Eco Horizon Sdn Bhd (EHSB) in Batu Kawan.
“This is EcoWorld and EPF’s third venture after two successful projects in the Klang Valley,” said both parties in a joint statement, adding the townships will be named as Eco Sun and Eco Horizon.
“Pursuant to the SSA, EPF will subscribe four million ordinary shares or a 40 percent equity interest in EHSB, and will provide shareholders advances to it to fund the proposed developments.”
The remaining 60 percent stake will be held by EcoWorld, and its unit EcoWorld Project Management Sdn Bhd (EWPM) will oversee the construction of both townships.
Furthermore, EWPM will grant EHSB the right to offer the properties at Eco Sun and Eco Horizon as signature projects under the EcoWorld brand.
The 30ha Eco Sun is located off the main interchange connecting the Second Penang Bridge to the North-South Highway, while the 122ha Eco Horizon is situated along Cassia Town Highway near the Penang State Stadium.
Featured image sourced from Getty Images
Diane Foo Eu Lynn, Senior Content Specialist at PropertyGuru, edited this story. To contact her about this or other stories email firstname.lastname@example.org