KUALA LUMPUR: Malaysia Smelting Corp
Bhd (MSC) is buying three plots of industrial land in Port Klang, along with the buildings and machinery on them, for RM50mil from the de-listed lead product maker Metal Reclamation Bhd (MRB).
In a filing with Bursa Malaysia, the tin smelter said its unit M Smelt (C) Sdn Bhd bought the land, measuring a total of 48,754 sq metres, plus buildings (including a double-storey office building, a single-storey warehouse, a smelter and refinery, and a double-storey chemical laboratory) from MRB’s unit Metal Reclamation (Industries) Sdn Bhd.
Metal Reclamation (Industries) had defaulted in payment to several financial institutions in September 2014 and the institutions launched legal proceedings against it and its parent company. MRB was de-listed in November last year.
According to MSC, the new manufacturing facility will cater to its long-termplans as it is intended to be a more comprehensive and efficient production facility compared with its existing facility, with the adoption of a more advanced manufacturing technology.
It noted that the properties and assets acquired are located in an industrial park that is a matured area with good connectivity to Westport and London Metal Exchange warehouse.
MSC said the assets and property purchase, expected to be completed by year-end, would be funded via internally generated funds and bank borrowings.
MSC, which operates a plant in Butterworth, is believed to be the second largest supplier of tin metal in the world.