The partnership will be effected via their investments into the joint venture company (JVco), PanaHome MKH Malaysia Sdn Bhd, which will be established by the end of December, according to a joint statement by Panasonic and MKH yesterday.
The JVco will focus on conducting building contract works for numerous residential development projects undertaken by MKH.
It will have a paid-up capital of RM9 million. PanaHome’s local subsidiary, PanaHome Malaysia Sdn Bhd, will take up 51% of the JVco, while MKH — via its subsidiary Kajang Resources Corp Sdn Bhd — will hold the remaining 49%.
According to the statement, Panasonic Corp has set a target of ¥50 billion (RM1.7 billion) in consolidated sales in the fiscal year ending March 31, 2019 for overseas business.
“Of the ¥50 billion, PanaHome aims to generate ¥15 billion in sales from the Malaysian market. Through the establishment of the new JVco, PanaHome will accelerate its efforts to expand its business to attain these goals,” the statement reads.
MKH chairman Tan Sri Alex Chen Kooi Chiew said the JVco will offer solutions and proposals for housing in Malaysia by combining MKH’s know-how in the real estate development business with PanaHome’s technology, construction expertise, and ideas for quality living.
“We aim to find a balance between design, furnishing and homebuilding, while sustaining the environment,” he said.
MKH has developed more than eight townships with over 35,000 properties in Kajang and Greater Kuala Lumpur, while PanaHome has built about 470,000 residences in Japan over the past 50 years.
PanaHome Malaysia president Haruhiko Kuwano said the company’s vision is to elevate housing conditions in the markets it serves.
“The establishment of PanaHome MKH Malaysia is synonymous with that. We are excited to partner with MKH to build sustainable homes,” said Kuwano.
News Source: The Edge Property, 2 December 2015