GSH (SGX:BDX) subsidiary, GSH Properties, has entered into a non-binding framework cooperation agreement with Fujian Jinnan Construction Group to develop a land parcel in Kuala Lumpur's Chinatown area, according to a Thursday filing with the Singapore Exchange.

Under the proposed arrangement, Fujian Jinnan or its nominee plans to subscribe for shares in Peninsular Holdings, a wholly owned subsidiary of GSH Properties that holds a 50% stake in Aspirasi Kukuh, the landowner.

Following the subscription, Fujian Jinnan is expected to hold a 20% to 35% interest in Aspirasi Kukuh, subject to final terms.

The subscription consideration will range between 120 million ringgit and 210 million ringgit, depending on the final stake.

The parties are yet to finalize and sign definitive agreements.