Paramount Corp Bhd CEO Jeffrey Chew
PETALING JAYA: Paramount Corp Bhd
has become a major shareholder of Eco World International Bhd (EWI) after acquiring a 21.54% stake in EWI for RM170.61mil cash.
In a filing with Bursa Malaysia, Paramount said its wholly owned subsidiary, Flexsis Sdn Bhd acquired 517 million shares, or 21.54% equity interest in EWI via a direct business transaction.
It said the acquisition entails the acquisition by Flexsis of the shares from GLL EWI (HK) Limited at 33 sen per share for a total of RM170.61mil and payable in full on May 14, 2024.
Paramount Group CEO Jeffrey Chew said since the divestment of its education businesses in 2018, Paramount has been on the look-out
for opportunities to participate in new business interests for diversification of its earnings base, both locally and outside of Malaysia, all of which are within its 2020-2025 strategic plan.
“We have since then invested in various start-ups in the digital space and expanded into Bangkok property development via a joint venture.”
“This acquisition presents a timely and strategic opportunity for Paramount to accelerate our expansion plan beyond Malaysia, in fact, beyond Asia. It enables Paramount to have a sizeable stake in a well-established Malaysian listed company that specialises in property development overseas,” he said in a statement.
EWI has development projects in London, Sydney and Melbourne through joint ventures and subsidiaries, with a remaining gross development value of RM8.6bil as at Feb 29, 2024.
Paramount closed up two sen to RM1.14 while EWI gained 0.5 sen to 36 sen.
