Link: https://links.sgx.com/1.0.0/corporate-announcements/CJ68RYRLBMCM27PN/3fe3a818100829249d793bdbb762a76918ec122f29f52ba51176977387f90d9a

Summary:

• Land Lease Agreement: Frencken Group Limited's wholly-owned subsidiary, ETLA Limited, has accepted an offer from JTC Corporation to lease a 12,318 sqm industrial land parcel at Kaki Bukit Avenue 5, Singapore, for 33 years starting 18 August 2025.

• Facility Development: The company plans to construct a new five-storey manufacturing facility with an estimated gross floor area of 28,594 sqm, aimed at consolidating its Mechatronics operations currently spread across Changi North and Seletar Aerospace Link.

• Investment Commitment: ETLA is required to invest at least S$19.54 million within three years from the lease commencement, including a minimum of S$13.29 million in new plant and machinery.

• Total Project Cost: The total estimated investment for construction, fit-out, and equipment is approximately S$63 million, to be funded through internal resources and external financing.

• Strategic Objectives: The new facility aims to enhance production capacity, particularly for larger cleanrooms, to support growth in the semiconductor and analytical life sciences sectors, and to facilitate program transfers from Europe to Asia.

• Timeline: Construction is expected to commence in Q3 2025, with completion targeted for Q1 2027.