KUALA LUMPUR: Prestar Resources Bhd
expects the manufacture of automotive tubes and stainless steel industrial pipes to buffer the lower contribution from POSMMIT Steel Centre Sdn Bhd following its partial divestment in the 68% subsidiary, said managing director Datuk Toh Yew Peng.
POSCO Korea, which currently holds 30% in POSMMIT, is increasing its shareholding to 70% via wholly-owned marketing unit, POSTEEL Korea, by buying up to 40% from Prestar (38%) and Spur Reach Sdn Bhd (2%) for more than RM31mil. After the sale, Prestar will still hold some 30% interest in POSMMIT.
