PETALING JAYA: Kim Hin Industry Bhd has entered into a conditional share sale agreement to buy UK-based Norcros Industry Pty Ltd (NIPL) for A$2.3mil (RM6.9mil) in a move to enter the Australian market.
The proposed acquisition entailed Tileworld Sdn Bhd, Kim Hin’s 100% owned subsidiary, acquiring 15,350,000 ordinary A shares, 2,200,000 ordinary B shares and 5,918,550 ordinary C shares of NIPL from Norcros Industry (International) Ltd.
Kim Hin would use its own funds for the acquisition.
In a filing with Bursa Malaysia, the tile manufacturer also announced a proposed agency agreement for Tileworld to act as agent to Ida Asset Management Pty Ltd to acquire the real property owned by Johnson Tiles Pty Ltd in Victoria, Australia for A$5.25mil.
Tileworld plans to sub-lease part of the property from Speedpanel (Vic) Pty Ltd. Following the acquisition, Tileworld will indirectly hold the entire issued and paid-up share capital of JTPL and its wholly-owned subsidiary Coramic Australia Pty Ltd.
The NIPL Group is one of the major importers and distributors of wall and floor tiles in Australia under the brand name “Johnson Tiles”.
It has been operating in Australia for over 50 years and currently operates five outlets.