PETALING JAYA: Epicon Bhd
is proposing to acquire precast and prestressed concrete firm Concrete Empire Sdn Bhd (CESB) for RM24.5mil.
In a statement, Epicon said CESB specialises in bridge and flyover construction.
“This acquisition marks a significant step in Epicon’s journey towards becoming a comprehensive infrastructure solutions provider, further solidifying its presence in the competitive Malaysian construction sector.
“As part of the agreement, CESB guarantees a profit of RM8mil for the financial years ending 2024 and 2025, assuring sustained financial contributions during this critical transition phase.”
Epicon added that CESB boasts a tender book worth RM162.3mil and an order book of RM57.13mil.
Epicon said the acquisition is “broken down” into RM14.7mil in cash and the issuance of 26.67 million new shares at RM0.30 per share, amounting to RM9.8mil for a 70% stake in CESB.
CESB has granted Epicon a call option to acquire the remaining 30% equity interest, subject to specific conditions.
