Omesti disposes of 6.6% stake in Diversified Gateway Solutions

Its job scope for the contract involves supplying concrete cement and metal for the upgrading of the Train Cargo Terminal at Padang Besar, Perlis, Dolphin said in a filing with Bursa Malaysia.

KUALA LUMPUR: Omesti Bhd's unit, Omesti Holdings Bhd, has disposed of 90 million shares of 6.64% stake in Diversified Gateway Solutions Bhd (DGSB) for RM10.78mil cash

"As a result of the Disposals, DGSB ceases to be a subsidiary of the Company. However, the Company regards DGSB as its associate as the Group is still able to exercise significant influence over DGSB via Board representations," it said in a stock exchange filing.

According to Omesti, the net proceeds from the disposal will go towards paring down the group's borrowings and for working capital purposes.

"The Disposals was carried out after reviewing the investment portfolio of the Company and overall market conditions," it said.

The group expects to record a non-cash flow loss of RM33mil or 7.9 sen per share from the disposal, mainly attributable to the RM32mil being the allocated goodwill on the acquisition of DIversified Gateway since April 14, 2010.

The net assets of the group will decrease by RM33mil while the gearing ratio will increase to 0.46 from 0.41.