Chin Hin to dispose of Solarvest stake for RM103.28mil

KUALA LUMPUR: Chin Hin Group Bhd plans to dispose of 19.34 per cent stake in Solarvest Holdings Bhd to Divine Inventions for RM103.28 million.

In a filing with Bursa Malaysia today, Chin Hin said the stake sale represented all of Solarvest shares held by Chin Hin.

"The parties shall complete the sale and purchase within one month from the unconditional date or such further period to be agreed by the parties,” it said.

The company also proposes to utilise RM102.72 million of the proceeds to repay part of the existing bank borrowings of Chin Hin and its subsidiaries, which amounted to RM790.89 million as at Dec 31, 2021.

On the rationale of the disposal, Chin Hin said the proposed disposal provides an avenue for the group to monetise its investment in Solarvest.

"The group will be able to utilise the RM103.28 million to repay its bank borrowings which will reduce the group’s gearing level and improve the group’s financial position with the enhancement of its current ratio and improve the group’s cash flow due to the lower interest expense,” it added. - Bernama

Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 46
Cxense type: free
User access status: 3
Join our Telegram channel to get our Evening Alerts and breaking news highlights

Next In Business News

China's central bank renminbi liquidity arrangement includes Malaysia
Global M&A braces for dry spell as boardrooms put expansion on hold
CPO futures market to see technical correction next week
Fed policymakers embrace more rate hikes, markets a little less
Tokyo Gas begins synthetic methane trial using green hydrogen
Bruised US stock investors brace for more pain in second half of 2022
An ‘AAA’ move?
A ‘Volcker recession’ in the making
Real stress hurts bank buybacks
Masayoshi Son’s eternal optimism

Others Also Read