Econframe buys property developer for RM56mil

Managing director Lim Chin Horng said this was part of the company’s efforts to grow its business and diversify its revenue stream.

PETALING JAYA: Econframe Bhd is proposing to acquire a 70% stake in ETA World Sdn Bhd (ETAW) from ETA Industries Sdn Bhd for RM56mil as part of its move to diversify the group’s business into construction services and property development.

In a filing with Bursa Malaysia, Econframe said RM28.1mil will be satisfied in cash and the remaining RM27.9mil will be satisfied via the issuance and allotment of 30 million new ordinary shares in Econframe at an issue price of 93 sen per consideration share.