Leweko proposes to diversify into property development

PETALING JAYA: Timber and precast concrete company Leweko Resources Bhd proposes to diversify into property development via a joint venture with Kampung Kenayat Sdn Bhd to develop a RM350 million gross development value leasehold mixed development in Kinta, Perak.
The company said its subsidiary Maju Weko Timber Industries Sdn Bhd will jointly develop 38 parcels of land measuring 96,875 square metres.
Leweko also announced yesterday that it proposes a reduction of its existing issued and paid-up share capital via the cancellation of RM0.30 of the par value of each existing ordinary share of RM0.50 to RM0.20 each.
It will also launch a renounceable rights issue of up to 161.165 million new Leweko shares on the basis of two rights shares for every three existing Leweko shares held after the proposed par value reduction, together with up to 201.457 million free detachable warrants on the basis of five warrants for every four rights shares