Serba Dinamik Annual Report 2018

242 ANNUAL REPORT 2018 SERBA DINAMIK HOLDINGS BERHAD 18. Trade and other payables (continued) 18.3 (a) The Group through its subsidiary, SDSB had entered into a Joint Venture Agreement (“JVA A”) with a third party (“the Land Owner A”) on 16 August 2018 to develop a land (the project is hereinafter referred to as “the Proposed Development” and the land, as “the Project Land A”). Through the JVA A, Land, Owner A shall contribute the Project Land A for the Proposed Development and SDSB shall undertake the Proposed Development pursuant to and in accordance with the provision of the JVA A. SDSB shall be solely responsible for the entire costs and expenses of the Proposed Development and obtaining all funds and necessary financing in respect thereof. Pursuant to the JVA A, Land Owner A shall be entitled to a minimum return of RM24,195,402 and a guaranteed return of RM21,775,862. The guaranteed return is payable based on a milestone payment schedule with last payment due in November 2020. 18.3 (b) SDSB had also entered into another Joint Venture Agreement (“JVA B”) with a third party (“the Land Owner B”) on 28 November 2018 to develop a land (the Proposed Development in (a) and the land, as “the Project Land B”). Through the JVA B, Land Owner B shall contribute the Project Land B for the Proposed Development and SDSB shall undertake the Proposed Development pursuant to and in accordance with the provision of the JVA B. SDSB shall be solely responsible for the entire costs and expenses of the Proposed Development and obtaining all funds and necessary financing in respect thereof. Pursuant to the JVA B, Land Owner B shall be entitled to a minimum return of RM75,270,000 and a guaranteed return of RM75,302,545. The guaranteed return is payable based on milestone payment schedule with last payment due in January 2021.