KUALA LUMPUR: Tanco Holdings Bhd's unit Tanco Land Sdn Bhd and Menteri Besar Negri Sembilan Incorporated (MBINS) have agreed to set up a joint venture company to develop a 574.73 hectare land area in Port Dickson into an industrial park to be known as the "Port Dickson Free Zone".
The industrial zone will have warehouses, factories among other public amenities.
The land is currently owned and registered to SD Guthrie Bhd.
TLSB and MBINS will establish a joint venture company (JVC1), to acquire the land and to undertake the project.
Tanco will hold an 80 per cent interest in JVC 1, while MBINS will hold the rest.
Tanco said the proposed joint venture will provide Tanco and its subsidiaries with another strategic platform to foster a long term relationship with MBINS.
It said the development of a large scale industrial park project in Negeri Sembilan together with MBINS will further complement its proposed Smart AI Container Port project.
"The project is expected to be undertaken in several phases which will enable the group to enhance its existing property development projects."
"This proposed joint venture is expected to generate significant future earnings for the group and will also strengthen the group's presence within the property development industry in Negeri Sembilan," Tanco said.
Tanco's share price was up 1.35 per cent to RM1.50 a share, giving it a market capitalisation of RM3.26 billion.