TALAM Transform Bhd has returned to the path of financial stability
after a debt rationalisation exercise which includes asset divestment
programme, debt conversion into financial instruments and settlement of
debts through contra of properties with creditors.
The disposal of some 6000 acres of development land and investment properties over the past decade has raked in close to RM2bil that helps to pare down its massive debts and steers the property group to rosier times ahead...
Efforts to revive the affected delayed projects by bringing in
reputable contractors in the last seven years have borne fruit and
to-date all the houses have been completed and delivered to their
buyers, she adds.
Talam executive director, corporate affairs, Yaw Chun Soon says the debt rationalisation efforts are paying off, and despite headwinds and a softer property market, the efforts of unlocking the value of Talam’s landbank and assets has shored up Talam’s resilience and financial footing in the coming years.
By the second quarter ended July 31, 2014, Talam has substantially brought down its debts to RM1.2bil. Talam’s borrowings and loan stocks fell to RM254.475mil as at July 31, 2014, from RM435.53mil in financial year 2013 (FY13), while net current assets came to RM194mil against net current liabilities of RM220.11mil in FY13.
Talam posted a profit before tax of RM10.49mil for the period compared with a pre-tax loss of RM6mil in the second quarter of 2013. Group revenue rose to RM88.7mil from RM19.48mil previously.
For the financial year ended January 31, 2014, it posted after-tax gains of RM7.98mil, a significant turnaround compared with the preceding year’s losses of RM20mil. Group revenue of RM216.72mil was an increase of 1.92%, compared with RM212.64mil in FY13.
Yaw says the completion of the other incoming asset sales will further reduce Talam’s total debt level to around RM300mil, and in the near future the borrowings will come down to less than RM50mil.
“With this stronger financial footing, Talam will be able to undertake more value added and quality lifestyle projects. Moving forward, Talam is embarking on a build and sell concept for a few of its projects.
“We are exploring ways of rationalising Talam’s structure and operations to enhance its efficiency and effectiveness of building and delivering quality property projects,” he adds.
Among others are that the group will be managed by professional executive directors Chua Kim Lan and Yaw Chun Soon. Yaw was formerly with TA Enterprise Bhd and joined Talam on July 24 this year. They will be assisted by the executive committee where the members comprise professional staff.
While Tan Sri Chan Ah Chye will become the controlling shareholder, he has indicated he will continue as a non-executive director only, and through the company’s board, will guide and nurture the new leadership of the group by providing advice and strategic input to the property group.
Talam has development plans worth a gross development value of RM5bil over a period of 10 years. Four development projects in Selayang, Ukay Perdana, Putra Perdana and Puncak Jalil with a gross development value of RM2bil to RM3bil are lined up for launch next year. It also has three ongoing joint ventures – Serenia Garden, Taman Puncak Jalil and Saujana Putra, worth a GDV of RM400mil to RM500mil.
The disposal of some 6000 acres of development land and investment properties over the past decade has raked in close to RM2bil that helps to pare down its massive debts and steers the property group to rosier times ahead...
Talam executive director, corporate affairs, Yaw Chun Soon says the debt rationalisation efforts are paying off, and despite headwinds and a softer property market, the efforts of unlocking the value of Talam’s landbank and assets has shored up Talam’s resilience and financial footing in the coming years.
By the second quarter ended July 31, 2014, Talam has substantially brought down its debts to RM1.2bil. Talam’s borrowings and loan stocks fell to RM254.475mil as at July 31, 2014, from RM435.53mil in financial year 2013 (FY13), while net current assets came to RM194mil against net current liabilities of RM220.11mil in FY13.
Talam posted a profit before tax of RM10.49mil for the period compared with a pre-tax loss of RM6mil in the second quarter of 2013. Group revenue rose to RM88.7mil from RM19.48mil previously.
For the financial year ended January 31, 2014, it posted after-tax gains of RM7.98mil, a significant turnaround compared with the preceding year’s losses of RM20mil. Group revenue of RM216.72mil was an increase of 1.92%, compared with RM212.64mil in FY13.
Yaw says the completion of the other incoming asset sales will further reduce Talam’s total debt level to around RM300mil, and in the near future the borrowings will come down to less than RM50mil.
“With this stronger financial footing, Talam will be able to undertake more value added and quality lifestyle projects. Moving forward, Talam is embarking on a build and sell concept for a few of its projects.
“We are exploring ways of rationalising Talam’s structure and operations to enhance its efficiency and effectiveness of building and delivering quality property projects,” he adds.
Among others are that the group will be managed by professional executive directors Chua Kim Lan and Yaw Chun Soon. Yaw was formerly with TA Enterprise Bhd and joined Talam on July 24 this year. They will be assisted by the executive committee where the members comprise professional staff.
While Tan Sri Chan Ah Chye will become the controlling shareholder, he has indicated he will continue as a non-executive director only, and through the company’s board, will guide and nurture the new leadership of the group by providing advice and strategic input to the property group.
Talam has development plans worth a gross development value of RM5bil over a period of 10 years. Four development projects in Selayang, Ukay Perdana, Putra Perdana and Puncak Jalil with a gross development value of RM2bil to RM3bil are lined up for launch next year. It also has three ongoing joint ventures – Serenia Garden, Taman Puncak Jalil and Saujana Putra, worth a GDV of RM400mil to RM500mil.
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