KUALA LUMPUR (July 27): Property developer SC Estate Builder Bhd said its wholly-owned unit SC Estate Industries Sdn Bhd had agreed to accept 21 pieces of freehold land with buildings as settlement of a RM2.77 million debt.

“The properties are currently registered under the name of Ismail Idris, who has agreed to step in as a third party to assist Sigmagate Capital Sdn Bhd in settling the debt with the properties,” SC Estate Builder said in a bourse filing.

Following this, SC Estate Industries agreed to withhold taking legal action against Sigmagate Capital for the debt, which arose due to failure to make payment for the supply of various construction materials on credit.

SC Estate Builder said its subsidiary inked the debt settlement agreement with Sigmagate Capital and Ismail last Friday.

The group said the land parcels, measuring between 102 and 168 sq m, are located in Alor Setar, Kedah and have a combined market value of RM3.65 million, which exceeds the debt sum.

In view of this, SC Estate Industries is required to pay the excess sum of RM883,057 to Sigmagate Capital within five years from the date of the agreement until the full and final settlement is made, it added.