SILVERSTONE Corp Bhd’s wholly-owned subsidiary, Lion Suzuki Motor Sdn Bhd, has entered into a conditional sale and purchase agreement to dispose of an industrial site in Damansara, Selangor, and the office buildings on it to Aesbi Power Systems Sdn Bhd for RM29mil cash.

The proposed disposal would provide Lion Suzuki with a net cash inflow of RM28.5mil after cost, Silverstone told the KLSE yesterday.

Proceeds from the sale would be used to repay loans amounting to RM24.62mil. The balance would be used by Lion Suzuki as working capital and for redemption of the bonds and special-purpose-vehicle debts issued pursuant to the corporate and debt restructuring exercises undertaken by Silverstone.

The site was acquired in 1992 for RM12.74mil, but with the development and construction of 2 buildings and other fixtures there, the total investment cost of the property came to about RM30mil.