Selling non-core land in Johor

Disposing 431 acres of land in Mersing, Johor
We are neutral on UEMS’ latest land disposal in Johor. While the land sale
is in line with the company’s strategy of disposing non-core landbank and
refocusing its resources on core projects as well as reducing its exposure
in Johor, the pricing appears on the low side, in our view. We maintain
our earnings forecasts, MYR0.43TP (on an unchanged 0.3x PBV) and HOLD
rating. Our preferred pick for the sector: ECW, SPSB.