“Magma Group and KLCC Holdings sell Impiana KLCC Hotel to Valiram-linked firm Harum Aspirasi for RM315 million, exceeding its RM300 million market value.”
Kuala Lumpur, 13th Octorber 2025, 10.36am – Magma Group Bhd and KLCC Holdings Sdn Bhd have agreed to sell the 519-room Impiana KLCC Hotel in Kuala Lumpur for RM315 million to Harum Aspirasi Sdn Bhd, a company majority-owned by the Valiram family, best known for its regional luxury retail empire.
The transaction confirms an earlier report by The Edge Malaysia in February that the five-star hotel, located opposite the iconic Kuala Lumpur Convention Centre, was up for sale.
RM315 Million Deal Signals Confidence in KL Hospitality Market
Magma Group, which owns 20% of Heritage Lane Sdn Bhd (the hotel’s owner), and KLCC Holdings, which owns the remaining 80%, said the sale price exceeds the property’s market valuation of RM300 million — reflecting strong investor confidence in the city’s hospitality sector.
In a joint statement, both companies said the sale represents an opportunity to unlock asset value and strengthen their balance sheets.
Magma will receive RM63 million in cash for its 20% stake. The group plans to allocate around RM45 million to repay borrowings, fund its business operations, and cover related transaction expenses.
The loan repayment is expected to save Magma approximately RM3.9 million in annual interest costs and improve its gearing ratio.
Refocusing on Core Growth and Unlocking Value
According to Magma, the divestment aligns with its strategic plan to reduce debt exposure and focus on high-growth business segments, while monetising non-core assets.
Following the completion of the deal, Heritage Lane Sdn Bhd will cease to be an associate company of Magma Group. The transaction is expected to generate an estimated gain of RM20 million, pending shareholder approval.
The deal is expected to be finalised by the first quarter of 2026.
Market Performance
Magma’s shares closed unchanged at 31 sen on Friday, giving the company a market capitalisation of RM521.14 million. The stock has gained 40.91% year to date, reflecting growing investor optimism following a series of restructuring and recovery efforts by the group.
