PETALING JAYA (July 7, 2026): Careplus Group Bhd has proposed to dispose of a retail complex in Seremban, Negeri Sembilan, for RM42 million in cash as part of its strategy to unlock asset value, strengthen its balance sheet and accelerate investment in its new-energy vehicle (NEV) manufacturing business.

According to a Bursa Malaysia filing, the disposal will be carried out by its wholly-owned subsidiary, Careplus Properties Sdn Bhd, through a conditional sale and purchase agreement signed on July 6 with Delloyd Asset Portfolio (M) Sdn Bhd.

Sale involves retail complex and freehold land

The proposed disposal includes a purpose-built single-storey retail complex with a mezzanine floor together with the underlying freehold land located in Pekan Bukit Kepayang, Seremban.

The property occupies approximately 437,876 sq ft and is being sold as a non-related-party transaction.

Selling price reflects market valuation

The RM42 million purchase consideration was negotiated on a willing-buyer, willing-seller basis and matches the property's market value as determined by an independent valuation conducted by Henry Butcher Malaysia Sdn Bhd using the comparison method.

As at June 30, 2025, the property had an audited net book value of RM36.44 million. Upon completion, Careplus expects to record a pro forma disposal gain of approximately RM2.09 million.

Majority of proceeds to fund NEV manufacturing hub

Careplus intends to channel the disposal proceeds towards expanding its manufacturing capabilities in the new-energy vehicle sector.

Approximately RM27.31 million, representing about 65% of the proceeds, will be allocated for the construction of its NEV manufacturing hub and the purchase of related equipment.

Another RM13.36 million will be used to repay borrowings associated with the project.

Stronger balance sheet after debt repayment

The repayment of borrowings is expected to improve the group's financial position by lowering its gearing ratio from 0.14 times to 0.08 times on a pro forma basis.

The disposal allows Careplus to monetise a mature property asset while redirecting capital into a higher-growth manufacturing business aligned with the expanding electric and new-energy vehicle industry.

Key Takeaways

Careplus is monetising a non-core property asset to fund future business expansion rather than relying solely on new borrowings.

The Seremban retail complex is being sold at its independently assessed market value of RM42 million.

Around 65% of the sale proceeds will finance the construction of a new-energy vehicle (NEV) manufacturing hub and equipment purchases.

Part of the proceeds will be used to reduce debt, improving the group's gearing ratio from 0.14 times to 0.08 times.

The disposal is expected to generate a modest accounting gain of approximately RM2.09 million.

The transaction reflects Careplus' strategic shift towards higher-growth manufacturing opportunities in the rapidly expanding NEV industry while strengthening its financial position.