Goodway Integrated to sell property for RM5m

PETALING JAYA: Goodway Integrated Industries Bhd's wholly owned subsidiary Big Wheel Green Tyres Sdn Bhd plans to dispose a two storey terraced industrial/warehouse building in Kota Kinabalu, Sabah for RM5 million to raise funds to repay its borrowings.
In a filing with Bursa Malaysia, Goodway's board of directors said it had entered into a sale and purchase agreement with Yii Yong ,Yii Ming Seng and Yii Ming Ung for the disposal.
Goodway plans to utilise the proceeds from the disposal to settle its borrowings stemming from settlement of trade facilities charged against the property and the repayment of debts owed by its subsidiary Goodway Rubber Industries Sdn Bhd. Besides reducing its net gearing from 2.37 times to 2.31 times, It is also set to gain RM309,000 from the disposal.
Goodway is also of the view that the disposal will enable it to unlock the value of the property and strengthen its financial position.
Its share price was unchanged at 24 sen with some 61,900 shares changing hands.