KUALA LUMPUR (Dec 21): Foundpac Group Bhd has proposed to acquire a leasehold industrial land in Bayan Lepas, Penang, for RM41.88 million.

The precision engineering parts maker, which is currently operating in six factories across Penang and Kedah, said it is buying the land to consolidate its production operations in Penang into a single premise for enhanced efficiency and potential cost savings.

In a bourse filing, the group said the acquisition of the land from Bluemetal Sdn Bhd will be paid for, using bank borrowings and internally generated funds.

The group anticipates the relocation and consolidation of production operations in Penang to occur after the second quarter of 2026.

Shares in Foundpac remained unchanged at 42 sen on Thursday, resulting in a market capitalisation of RM226.9 million for the group.