PETALING JAYA: CI Holdings Bhd
is disposing of its entire stake in Doe Industries Sdn Bhd (DISB) to KUB Malaysia Bhd for RM20mil.
The proposed divestment constitutes a related party transaction due to JAG Capital Holdings Sdn Bhd being a major shareholder of both CI Holdings and KUB.
DISB is principally involved in the manufacturing and selling of water taps, showers and other plumbing fittings.
CI Holdings said in a Bursa filing that the disposal is due to the realigning of its focus to strengthen its position as a diversified international fast-moving consumer goods group.
“As part of this strategic focus, the company has identified its tap and sanitary ware division as a non-core asset and plans to divest it.”
Meanwhile, KUB said the acquisition will allow it to leverage DISB’s established product range and extensive distribution network.
“The building materials market in Malaysia offers a strong growth outlook, driven by factors such as economic expansion, population growth, urbanisation, increasing affluence, and government-led initiatives.
“DISB is well-positioned to seize these opportunities, leveraging its robust product offerings and extensive network, strategic supplier relationships, and commitment to innovation and sustainability,” it said.
