KUALA LUMPUR: KLCC Property Holdings Bhd (KLCCP) has inked a share purchase agreement with the existing shareholders of Suria KLCC Sdn Bhd to acquire the remaining 40 per cent equity interest worth RM1.95 billion.

       The shareholders are Ocmador (Malaysia) City Retail Centre Sdn Bhd, Port Moresby Investments Ltd and Bold Peak Sdn Bhd, it said in a filing with Bursa Malaysia.

       Upon completion, Suria KLCC, a 60 per cent-owned subsidiary of KLCCP would become a wholly owned subsidiary of KLCCP.

       KLCCP chief executive officer Datuk Md. Shah Mahmood said the proposed acquisition would solidify KLCCP’s overall portfolio and is anticipated to generate yield of six per cent to seven per cent.

       "With a focused tenant strategy, deep data driven customer understanding and its long-term plans to revitalise the retail industry, Suria KLCC has positive long-term prospects and will be value accretive to the asset portfolio of KLCCP Stapled Group," he said.

       The group said the proposed acquisition would be funded by external borrowings and is expected to be completed by second quarter of 2024.

       KLCCP and KLCC Real Estate Investment Trust (KLCC REIT), collectively known as KLCCP Stapled Group is Malaysia’s largest self-managed stapled security that invests, develops, owns, and manages a stable of iconic and quality assets.

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       It constitutes 31 per cent of Bursa Malaysia’s Real Estate Investment Trust Index. - Bernama