Johore Tin unit to make US$2mil investment in Mexico

PETALING JAYA: Johore Tin Bhd is set to make a foray into Mexico with a US$2mil (RM8.8mil) investment via its dairy products unit Able Dairies Sdn Bhd.

The group announced to the stock exchange that its unit had signed a Letter of Intent (LoI) for the subscription of 40% interest in shares in a joint venture company to be incorporated in Mexico.

Other members of the JV company, Able Dairies Mexico, SAPI de CV, are Marco Antonia Zannie Rafols, which also has 40% interest, Juan Pablo Anaya Zermeno with 9% interest and Rodrigo Anaya Zermeno with 9% interest and Enrique Ortiz Eng with 2% interest.

“The total investment will be an amount up to US$5mil, of which Able Dairies’ proposed subscription share shall be US$2mil,” the group said in the filing.

It said the LoI was not expected to have any material effect on the issued and paid up share capital, net assets and earnings of the group for the financial year ending December 31, 2017.

“The board of directors of JTB, having considered all aspects of the LoI, is of the opinion that the LoI is in the best interest of the JTB Group,” it added.

It said none of the directors, major shareholders, and persons connected with directors or major shareholders of the company or any of its subsidiaries have any interest, direct or indirect, in the LoI.