PETALING JAYA: Sunzen Group Bhd is disposing of its loss-making animal health subsidiaries, Sunzen Corp Sdn Bhd (SCSB) and Sunzen Lifesciences Sdn Bhd (SLSB) to Pure Nutritional Products Sdn Bhd for RM17.3mil.
In a statement, Sunzen said the transaction is part of the group’s ongoing transformation to streamline its business focus, enhance profitability, and strengthen its balance sheet.
“SCSB and SLSB, which have been engaged in biotechnology research and development and animal health products, reported combined losses of RM4.1mil for the financial period ended June 30, 2024.
“Following the disposal, these loss-making subsidiaries will cease to be part of Sunzen, allowing the group to focus on its core businesses, including health products, medical devices and services, and loan financing.
Sunzen group managing director Teo Yek Ming said the disposal is a decisive step in optimising its business portfolio.
“By exiting the animal health sector, which recorded losses in the last financial period, we are strengthening our balance sheet and enhancing profitability.
“The one-off disposal gains of approximately RM2.25mil will immediately bolster our financial position and allow us to consolidate and enhance our business ecosystem, particularly in our high-growth segments.”
