KUALA LUMPUR (July 14): Fajarbaru Builder Group Bhd has proposed to acquire a piece of freehold land in Kuala Krai, Kelantan for RM16.5 million as part of its landbanking exercise.

In a Bursa Malaysia filing on Thursday (July 14), the construction group said its indirect subsidiary, Fajarbaru Real Development Sdn Bhd, has entered into a sale and purchase agreement with Datin Koh Hui Min for the land purchase.

"The acquisition is in line with the group's objective to focus on acquiring potential landbank for property development.

"The group is taking a further step by exploring the expansion of its business opportunities to the state of Kelantan," the group explained.

It said it will use its paid-up working capital and bank borrowings to fund the proposed acquisition.

Shares in Fajarbaru Builder closed 0.5 sen or 1.82% higher at 28 sen, giving it a market capitalisation of RM209 million.