Magma Group Berhad (“Magma” or the “Group”), a Malaysian conglomerate and investment holding entity rooted in hospitality, with an expanding presence in property development and related sectors, is pleased to announce the successful completion of its RM80.000 million acquisition of a 2.26-acre parcel of leasehold land located along Persiaran Dutamas, Kuala Lumpur. The transaction was carried out by Magma Kiara Sdn Bhd, a wholly-owned subsidiary of Magma Property Sdn Bhd, and marks a significant step in the Group’s growth strategy within the urban property development space.
This acquisition was approved by shareholders at the Group’s Extraordinary General Meeting (“EGM”) held on 21 March 2025. At the same meeting, shareholders also approved two accompanying proposals: the reduction of RM379.208 million from the issued share capital of Magma pursuant to Section 116 of the Companies Act 2016, and the necessary amendments to the Company’s Constitution to facilitate the issuance of Redeemable Non-Convertible Preference Shares (“RPS”) related to the acquisition.
To recap, the total consideration for the acquisition amounted to RM80.000 million, satisfied via a cash payment of RM8.000 million, the issuance of 120.000 million new ordinary shares in Magma at an issue price of RM0.2024 per share, and the issuance of 47.712 million RPS at RM1.00 each. The 120.000 million ordinary shares were successfully listed and quoted on the Main Market of Bursa Malaysia Securities Berhad on 23 April 2025, signifying the formal completion of the acquisition.
As a result of the issuance of the consideration shares, the Group has seen notable changes in its substantial shareholders. Skyload Express Sdn. Bhd. emerged as a direct substantial shareholder holding 120.000 million ordinary shares, equivalent to 7.697% of Magma’s issued capital. Several other parties, including Empire Solaris Sdn, Bhd,, Mr. Lee Kim Hai, Datuk Wira Lee Chong Wei, and Dato’ Sri Lee Hock Seng, now hold direct or indirect interests in Magma. These changes reflect a reshaped shareholding structure and growing investor confidence in Magma’s long-term direction.
Dato’ Sri Thomas Liang Chee Fong, Group Managing Director of Magma Group Berhad said, “The completion of this acquisition is a pivotal milestone that not only enhances our property development pipeline, but also reaffirms the trust placed in us by our shareholders. We are equally encouraged by the new strategic investors who have come on board as substantial shareholders. Their belief in Magma’s future strengthens our commitment to deliver consistent value as we embark on this new phase of growth.”
With the acquisition now completed, the Dutamas land will anchor Magma’s next commercial development, strategically located just minutes from central Kuala Lumpur. The Group remains focused on leveraging its diversified strengths across hospitality and property to create long-term value for all stakeholders.
