Bedi to Sell Sandakan Hypermarket to Mydin for RM85 Million Under First-Right-of-Refusal Deal

KUALA LUMPUR (Nov 13): Bedi Bhd (KL:BEDI), formerly WMG Holdings Bhd, has agreed to dispose of its hypermarket property in Sandakan, Sabah to Mydin Mohamed Holdings Bhd for RM85 million, with the retailer exercising its first right of refusal under an existing lease agreement.

The asset comprises 4.39 acres of freehold land along with a double-storey hypermarket building currently tenanted by Mydin. Independent valuer CH Williams Talhar & Wong (Sabah) Sdn Bhd estimated the property’s market value at RM93 million, making the disposal price an 8.6% discount to valuation.

The property has been leased to Mydin under a 20-year tenancy agreement signed in July 2019. Bedi approached the retailer in April 2025 to offer the asset for sale, in line with the lease terms that grant Mydin the first right of refusal. Mydin subsequently accepted the offer.

Asset Rationalisation to Strengthen Balance Sheet

Bedi said the disposal forms part of the company’s broader plan to streamline its asset portfolio and reinforce financial resilience, enabling the group to focus on strategic ventures within the property development segment.

Of the expected RM85 million in proceeds:

• RM45.52 million will be allocated to acquiring new land or participating in future development projects, particularly within Sabah

• RM35.78 million will be used to pare down bank borrowings

• The balance will cover transactional and professional expenses

Bedi anticipates a net disposal gain of RM22.1 million, with completion targeted for 1Q 2026, subject to shareholder approval at an upcoming EGM.

Corporate Developments and Shareholder Background

The group underwent a major leadership and shareholding shift last year when Exsim Development Sdn Bhd acquired a 52.5% stake, triggering a mandatory takeover offer. Exsim’s partner, Ben Kong Chung Vui, also purchased a separate 17.5% stake from Syarikat Kretam (Far East) Holdings Sdn Bhd.

Bedi’s redevelopment strategy aligns with market trends seen in high-growth real estate zones such as commercial property in KL, office space in Bukit Jalil, and industrial land in Selangor, where developers have increasingly been consolidating landbanks to reposition for long-term opportunities. This approach also mirrors demand shifts across Greater Klang Valley hotspots, including factory assets in Puchong and industrial property in the Subang area, where buyer appetite remains resilient.

Shares of Bedi last traded at 31 sen on Nov 12, valuing the group at RM268.82 million.