Temporary anti-dumping measures on ethanolamine products produced in the Malaysia, Saudi Arabia, Thailand and the United States is also being introduced.
KUALA LUMPUR: Denko Industrial Corporation Bhd has signed a conditional share sale agreement to acquire Integrated Manufacturing Solutions Sdn Bhd (IMS) for RM1.18bil purchase consideration.
The manufacturer of plastic injection moulds said on Tuesday it had signed the deal with the vendors of IMS – Datuk Seri Foo Chee Juan and Datuk Fong Chiu Wan – to acquire the 6.20 million IMS shares. Foo is Denko’s major owner and chairman.
The purchase consideration will be satisfied via the issuance of 107 million new ordinary shares in Denko and 925.10 million rights of allotment of new Denko shares at an issue price of RM1.15 each.
Denko also said Oregon Technology Sdn Bhd – which is 99.99%-owned by Foo shall place out up to 232 million Denko shares to be issued arising from the exercise of the rights of allotment, to third party investors to be identified.
StarBiz reported on Oct 28 Foo emerged in Denko when he launched an unexpected takeover offer for Denko in February at a price of 55 sen a share.
The offer was at a 21% premium over Denko’s market price of 45 sen. His offer was conditional upon him reaching at least 50% of the company’s ownership and he had intended to maintain the listing status of Denko. Foo ended up with just over 50% and his move stirred excitement in the otherwise dull stock.
Prior to the offer Foo did not own any shares in Denko.
Following his buy in, he became chairman of Denko. Foo’s move is seen as one aimed at strengthening his business footprint in the Malaysian plastic injection moulding sector.
Denko closed unchanged at RM1.34 on Tuesday.
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