Impiana Hotels shareholders have approved the proposal to lease WOLO Kuala Lumpur Hotel in Malaysia for three years, reported The Star.

Founded in 2019, WOLO is a lifestyle boutique hotel in Bukit Bintang. At present, it operates at an average occupancy rate of 75% to 80%.

The company also received permission to change its name to Magma Group.

Impiana managing director Datuk Seri Thomas Liang Chee Fong told the publication that the company proposed to change its name to expand its investments in different industries.

These industries range from food and beverage and green energy to information technology.

However, the Impiana brand will continue to be used for its hotels in Kuala Lumpur, Senai, and Ipoh.

During an extraordinary general meeting, 81 voters representing 99.99.97%, holding 194.61 million shares, backed a resolution for a new recurring related party transaction mandate.

This mandate involved leasing WOLO from 1 Jan 2024 to 31 Dec 2026.

It was opposed by 17 voters, holding 0.0003%, or 519 shares, while five shareholders, representing 195.1 million shares, chose to abstain.

The majority of these shares belonged to the single-largest shareholder, Datuk Seri Lee Hock Seng, and his spouse, Datin Seri Joanne Yew Hong Im.

The company explained that both Lee and Yew abstained due to their status as interested parties.

Datuk Seri Lee Hock Seng serves as the group chairman of HYM Group, which owns and manages WOLO and Gold3 Boutique Hotel.

Impiana noted that it needed the lease to help improve its financial situation after registering a net loss of RM9.4m ($2.02m) in the first nine months of 2023.

Meanwhile, 81 shareholders, holding 99.99.82% or 377.5 million shares, supported the second resolution for the name change to Magma.

This resolution was opposed by 21 shareholders, each owning 0.0018% or 6,710 shares, and one shareholder with 12.2 million shares abstained.

In October, Liang, formerly in charge of WOLO, assumed the position of managing director at Impiana.