Vestland Berhad's wholly owned subsidiary, Vestland Resources Sdn Bhd has entered into 16 Sale and Purchase Agreements (SPAs) today with Sg. Besi Construction Sdn Bhd and Armani KPF2 Development Sdn Bhd separately to purchase office suites and semi-detached industrial warehouse/ factory units for RM24.99mil.

In a Bursa Malaysia filing today, Vestland Resources signed 10 SPAs with Sg Besi Construction to acquire 10 office suites located at Shah Alam, Selangor for RM6.99mil and six SPAs with Armani for six units of semi-detached industrial warehouse/ factory at the Armani Business Park situated in Kota Kinabalu, Sabah for RM18mil.

Vestland said the proposed office acquisition will be funded via internally generated funds while the proposed warehouse acquisition will be funded via a mix of internally generated funds and bank borrowings.

Since the Company's initial public offering and listing in February 2022 the Group has expanded its business operations as well as its employees to cater for its business growth. In this respect, the Group's outstanding order book has increased from approximately RM940 million (or 14 on-going projects) during the Listing to approximately RM2.0 billion (or 25 on-going projects) as of 31 March 2024, which has also seen the Group's local workforce increasing 34% over the same period up till LPD.

Accordingly, to cater for the increased construction activities of the Group, out of the 10 units of the Office Properties, Vestland is currently renting a total of 8 units office suites and completion of the Proposed Office Acquisition, the Group would no longer incur rental commitments and would have better planning and control over the usage of the Office Properties to cater for its fast-paced business growth.