On expansion trail

Aspen Group president and CEO Datuk M. Murly with a scale model of the company’s project, Aspen Vision City. The company will look at opportunities to expand into other South-East Asia countries to increase its land bank for new projects

Aspen (Group) Holdings Ltd, which has unbilled sales of RM1bil, will look at opportunities to expand into other South-East Asian countries to acquire more landbank for new projects.

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 Group president and chief executive officer Datuk M. Murly told an analyst briefing that the group would expand regionally with strategic partnerships to focus on mass-market residential and mixed-development projects.

It would leverage on existing developments to move into new business segments that could generate streams of annuity income.

“Projects would include partnerships with established brands to provide greater value to purchasers through the provision of smart services and other innovative technologies.

“We will also explore fresh business segments to generate recurring income streams from our property developments by renting out carparks, retail outlets and advertising space,” he said.

Murly added that the group would keep financing cost low by utilising internal sources of funding prior to utilising external facilities.

The Penang-based group is listed on the Singapore Exchange.

For the second quarter ended June 30, 2017, the group posted RM13.4mil in net profit on the back of a RM70mil turnover, which was an increase of 246% on year-onyear growth.

“The growth in revenue was due mainly to advanced progress of its ongoing projects, Tri Pinnacle and Vervea.

“Tri Pinnacle in Tanjung Tokong had sold 82.3% of its units as at June 30, 2017, while Vervea in Batu Kawan had sold 83.5% of its units during the same period,” he said.

Murly added that the group had also approved a policy of paying an annual dividend of not less than 20% of the group’s consolidated profit after tax and non-controlling interest for the 2018 fiscal year.

On its RM10bil Aspen Vision City project in Batu Kawan, Murly said among the key highlights was a shopping mall which would cost RM1bil to build.

“The mall, scheduled for opening in either 2020 or 2021, will have a net lettable area of one million sq ft,” he said.

Aspen Group will hold a 30% stake in the mall, while Ikea will hold the other 70%.

Source: The Star 

Posted on : 08 September 2017
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Last Updated : Thursday 17th October 2019