Handal Energy to venture into healthcare

PETALING JAYA: Handal Energy Bhd’s wholly-owned subsidiary, Handal Hospitality Sdn Bhd (HHSB), has entered into a memorandum of agreement (MOA) with Hartanah Azzahrah Sdn Bhd (HASB) whereby both parties are desirous of collaborating with each other to venture into the healthcare business.

In a filing with Bursa Malaysia, oil and gas firm Handal also said that HHSB will act as a liaison to procure a purchaser for two hospitals for an indicative consideration of not less than RM69mil.

“Handal and its subsidiaries are actively pursuing various business opportunities to expand its business portfolio. The entry into this MOA aligns with the group’s strategy to explore the potential in the healthcare sector, which offers stable long-term growth prospects.

“In addition, it allows the group to leverage its experience in managing infrastructure and assets while tapping into the increasing demand for private healthcare services in Malaysia.”

By facilitating the acquisition and leasing of the subject properties, if successful, Handal said the group aims to generate a stable and recurring income through long-term lease agreements of the subject properties.

“The structured sub-lease arrangements between HHSB and the operators will provide recurring cash flows, contributing positively to the group’s future revenue and financial performance.”