Tropicana Corp Bhd is accelerating its financial transformation through a series of strategic capital management initiatives, reinforcing investor confidence while positioning the group for sustainable long-term growth.
The property developer has announced the full redemption of its Tranche 1 perpetual sukuk, originally issued in September 2019 to fund key projects across its key townships. This move is part of a broader effort to reduce borrowings and strengthen the group’s balance sheet.
The redemption follows an earlier RM139 million Tranche 4 repayment under its RM1.5 billion Islamic Medium-Term Notes (IMTN) Sukuk Wakalah Programme in October 2025. This brings Tropicana’s total cumulative repayments to RM1.12 billion, highlighting its ongoing commitment to deleveraging.
In November 2025, the group returned to the debt capital market with a RM300 million IMTN issuance, which was increased from an initial RM200 million after receiving strong investor demand. The offering was oversubscribed and attracted participation from government-linked institutional investors, reflecting continued market confidence.
Tropicana’s management said the full redemption of the Tranche 1 perpetual sukuk marks steady progress in strengthening the organisation and reinforces its commitment to meeting financial obligations. The group is focused on becoming a future-ready company, prioritising sustainable growth through an asset-light strategy while leveraging its core development expertise.
The company’s disciplined financial management comes alongside solid operational performance. Tropicana’s unbilled sales remain strong at around RM2 billion, supported by a healthy pipeline of ongoing and upcoming projects with a combined gross development value (GDV) of more than RM7.5 billion.
For the financial year ended December 31, 2025, Tropicana recorded revenue of RM1.5 billion, representing a 6.0% increase year-on-year. The growth was driven by higher progress billings across key developments in the Klang Valley as well as the Southern and Northern regions.
Looking ahead, the group plans to sustain its growth by strengthening sales execution, strategically monetising its landbank and investment properties, and continuing its financial optimisation efforts.
Reflecting these improvements, MARC Ratings upgraded Tropicana’s outlook to positive from stable while affirming its A rating, citing balance sheet strengthening driven by deleveraging initiatives and asset disposals.
Operationally, Tropicana is gaining momentum with 11 new developments worth an estimated GDV of RM3.1 billion across key locations including Kota Kemuning, Cyberjaya, Genting Highlands, Langkawi and Johor. The group is also set to deliver vacant possession for several projects this year, further supporting earnings visibility.
With a landbank of 1,540 hectares and a total potential GDV of RM168.4 billion, Tropicana is well-positioned to unlock long-term value and sustain its performance in the years ahead.