TOMO HOLDINGS (06928) announced that on March 30, 2026, the seller, Tomo-CSE Autotrim Ptd Ltd, an indirect wholly-owned subsidiary of the company, entered into an agreement with the buyer, Siti Adilah Abu Bakar. Under this agreement, the seller has granted the buyer an option to purchase the property for a total consideration of S$1.523 million plus Singapore's prevailing applicable Goods and Services Tax. To the best of the directors' knowledge, information, and belief, the buyer is expected to exercise the option within the option period.
The property to be sold by the seller is located at #02-05, Premier@Kaki Bukit, 8 Kaki Bukit Avenue 4, Singapore 415875. It is a ramp-up industrial unit featuring a production area, a mezzanine office space, and a separate toilet, with a strata floor area of approximately 283.0 square meters. The property is situated on the second floor of an eight-storey multi-user ramp-up light industrial building, which is one of two blocks in the Premier@Kaki Bukit development completed in 2014.
For its automotive appearance and maintenance center business, the company plans to establish a retail store in Singapore to provide automotive appearance and maintenance services. The company will develop a new consumer-facing brand name, logo, and marketing assets. By setting up highly visible retail units in strategic locations, it will offer services such as vehicle wrapping, detailing, and paint restoration to walk-in customers.
Following the establishment of the retail store, the company will initiate marketing campaigns to increase customer traffic and sales performance. Initial investment items will include inventory of premium wrapping films, ceramic coatings, and detailing supplies, as well as costs associated with recruiting and training retail front-line staff. Depending on business progress, the company will expand its operations through measures such as establishing a loyalty program, developing a mobile application, and implementing performance marketing to further boost sales performance.
With the upgrade of the existing business and the expansion of its scope of work, the directors anticipate improvements in operational and financial performance. On the other hand, the group currently derives only limited rental income from the property, which is not beneficial to the group in the long term. Given that the consideration represents a premium over the property's valuation and that funds are required to further expand the scope of the existing business, the directors consider the disposal to be a good opportunity for the group to realize its investment in the property and to further develop the group's business. Therefore, the directors believe that the terms of the agreement are entered into on normal commercial terms, are fair and reasonable, and are in the overall interests of the company and its shareholders.
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