KUALA LUMPUR: Ireka Corporation Bhd (Ireka Corp) expects to receive returns from the asset divestment plan by its unit, Aseana Properties Ltd.
Ireka Corp owns a 23 per cent stake in Aseana, a London-listed property group.
Ireka Corp group managing director, Lai Voon Hon, said Aseana's divestment plan was in the works and pending its shareholders' approval at a meeting in June this year.
Aseana is now evaluating the assets as some were more ready for divestment than others, he said.
"Aseana would eventually sell its assets entirely but this would be done progressively over three years," Lai said to reporters after Ireka Corp's Extraordinary General Meeting (EGM) here today.
The value of Ireka Corp's investment in Aseana were worth RM230 million, he added.
Aseana's listing on the London Stock Exchange was initiated by Ireka Corp. The former undertakes property development activities in Malaysia and Vietnam.
Its developments in Ho Chi Minh City include City International Hospital, a flagship development in the International Hi-Tech Healthcare Park.
At today's EGM, Ireka Corp obtained its shareholders' approval to dispose of its land to Japanese-owned AEON in Senawang, Negeri Sembilan, for RM53.662 million.
The 8.45-hectare site has been earmarked for a shopping centre, serving the neighbourhoods of Seremban, Seremban 2 and Kuala Pilah.
On the development front, Ireka has projects with a gross development value of about RM2 billion that would keep the company busy for the next five years, Lai said.
"Ireka is moving in the right direction with its construction orderbook totalling about RM1.4 billion, of which about RM900 million is still outstanding," he added.
Ireka Corp has been languishing in the red for the last three years but is confident of returning to profitability in the financial year ended March 31, 2015. -- Bernama