Chin Hin Group Property buys 55% stake in Nilai developer from Chiau family's firm

• The property developer announced in a bourse filing on Friday that it is buying Sunrich Victory Sdn Bhd from PP Chin Hin Realty Sdn Bhd, with whom CHGP share common directors and major shareholders, namely Datuk Seri Chiau Beng Teik and his children Datuk Wira Chiau Haw Choon and Shelly Chiau Yee Wern. This makes the acquisition a related-party transaction.

KUALA LUMPUR (Aug 29): Chin Hin Group Property Bhd (KL:CHGP) is acquiring a controlling 55% stake in a developer based in Nilai, Negeri Sembilan for RM9.37 million in cash, to strengthen its project portfolio with a mixed-used development in the state.

The property developer announced in a bourse filing on Friday that it is buying Sunrich Victory Sdn Bhd from PP Chin Hin Realty Sdn Bhd, with whom CHGP share common directors and major shareholders, namely Datuk Seri Chiau Beng Teik and his children Datuk Wira Chiau Haw Choon and Shelly Chiau Yee Wern. This makes the acquisition a related-party transaction.

Beng Teik is also the founder and executive chairman of CHGP's parent company, Chin Hin Group Bhd (KL:CHINHIN), at which Haw Choon is managing director and Yee Wern an executive director. Chin Hin, which owns 50.8% in CHGP, is mainly involved in the distribution and manufacturing of building materials.

Sunrich Victory owns a 16,606 sq m freehold commercial land in Mukim Labu, Seremban, designated for a mixed development comprising 1,266 service apartments and 10 retail units.

The project, referred to as the “Nilai Project”, has an estimated gross development value of RM394.3 million and a gross development cost of RM329.3 million. It is slated to begin in the fourth quarter of 2025, with approvals having already been secured for its development order and building plan.

“This proposed acquisition is in line with the CHGP Group’s overall strategy to expand its property development segment,” CHGP said. “The project is expected to generate future revenue stream for CHGP Group,” it noted.

CHGP plans to fund the acquisition using internal funds.

CHGP finished unchanged at RM1.19 on Friday, valuing the group at RM1.55 billion.

As Penang girds itself towards the last lap of its Penang2030 vision, check out how the residential segment is keeping pace in EdgeProp’s special report: PENANG Investing Towards 2030.