Eco World Development's Land Sale Drives Earnings Visibility — Market Talk

Eco World Development's land sale in Kulai for 281 million ringgit appears positive, CGS International analyst Lucas Tan and Chong Tjen-San say in a note. The move accelerates Eco World's fiscal 2026-2028 earnings growth and supports expectations that local developers are seeing higher data center enquiries, they say. The sale of 49.6 acres marks its fifth data center-linked land deal in two years. The premium pricing of 130 ringgit per square foot signals strong demand from regional data center operators and highlights Eco World's ability to unlock value from its industrial landbank, even amid a more cautious macro environment, they add. CGS maintains an add rating on Eco World and keeps target price at 2.62 ringgit. Shares are 0.5% higher at 2.11 ringgit.(yingxian.wong@wsj.com)