KTC acquires RM40 million land at KKIP to develop largest integrated hub
Dexter Lau
KOTA KINABALU (June 11): Kim Teck Cheong Consolidated Berhad (KTC), a leading fast-moving consumer goods distributor in East Malaysia, has successful acquired land valued at RM40 million at Kota Kinabalu Industrial Park (KKIP) for the development of KTC Industrial Park, the Group's largest integrated hub for operations, logistics and manufacturing.
The latest investment is poised to expand KTC's existing operational base by 40 percent, while revenue is expected to surge by extra 50 percent.
This strategic move will drive the KTC's annual turnover to the tune of RM1.5 billion to RM1.6 billion, further solidifying its position as a leading company in Sabah, East Malaysia and Borneo Island.
KTC Executive Director Datuk Dexter Lau said this strategic investment marks a significant milestone in the group's long-term growth strategy and is set to support its expansions over the next five years.
The newly acquired land is situated in a high-growth industrial zone and will serve as the foundation for KTC's future developments in warehousing, logistics infrastructure, transportation fleet, and operational facilities.
This expansion is expected to enhance operational efficiency, streamline supply chain capabilities, and further strengthen the Group's presence in both existing and new markets across Malaysia.
The KTC Industrial Park is set to become one of the largest FMCG distribution centres in the region, designed to efficiently serve markets across Sabah, Sarawak, Brunei and Indonesia.
'This investment is a strategic move that position us for sustainable growth. As we continue to upscale our operations, this land will provide the space and infrastructure needed to meet growing demand to serve our business partners effectively,' said Lau.
He emphasized that the acquisition is aligned with KTC's mission to build long-term value through operational excellence and strategic foresight.
The new KTC Industrial Park will significantly enhance the Group's logistics capabilities, enabling it to meet the increasing demand for FMCG products across multiple regions.
'This development not only reflects our commitment to operational excellence and regional economic growth, but is also expected to create job opportunities and drive the expansion of a broader supply chain ecosystem in East Malaysia and surrounding regions.'
Lau also revealed KTC has already surpassed RM1 billion in revenue as of June this year, and is continuing on a strong growth trajectory.
He shared that KTC's total operational area currently spans 500,000 square feet. With the development of the KTC Industrial Park on the newly acquired 15-acre land in KKIP, the Group's operational base will increase significantly by 40 percent, while its revenue is projected to grow to RM1.5 billion to RM1.6 billion.
'We will begin construction of the KTC Industrial Park in KKIP as soon as possible, with a total investment of RM100 million.
'The industrial park is expected to create 500 new jobs. We will prioritize on hiring locals from disadvantaged backgrounds to support the government's poverty eradication efforts.'
Lau also disclosed that the KTC Board of Directors has approved an additional RM10 million investments in Sarawak in the same period. As a result, KTC's revenue is expected to grow by an overall of 50 per cent in East Malaysia – 40 percent in Sabah and 10 percent in Sarawak – over the next two to three years.
As a Main Market listed company on Bursa Malaysia, KTC currently has a workforce of 2,000 across Sabah, Sarawak, Brunei and Peninsular Malaysia, and remains one of the leading companies in Sabah.
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