Sunway unit in JV to develop Sri Lanka project for RM250mil

PETALING JAYA: Sunway Holdings Bhd, via its unit SunwayMas Sdn Bhd, is tying up with Sri Lanka-based Dasa Tourist Complex Pte Ltd to undertake a mixed development project there with an estimated gross development value of RM250mil.

Sunway told Bursa today that the project in Colombo will involve the construction of residential and commercial units.

The joint venture will see SunwayMas and Dasa Tourist having a 65% and 35% stake respectively.

Sunway said the mixed development will comprise of at least 318,000 sq ft of net saleable areas of residential units and 60,000 sq ft of net saleable areas of commercial units in Colombo city.

“Sunway is constantly on the lookout for new investments. The Group has been in India for more than 10 years and the opening of the Sri Lanka economy to foreign investment and expertise allows expansion of Sunway’s geographical footprint to Sri Lanka which has a higher foreign currency rating as compared to India.

“The proposed JV is not expected to have any immediate material effect on the earnings per share, net assets per share and gearing of Sunway for the current financial year ending Dec 31, 2010 but is expected to contribute positively to the future earnings of Sunway Group,” it said.

By The Star