KUALA LUMPUR: Powerwell Holdings Bhd
has proposed to acquire a 51% stake in Firerex Technology Sdn Bhd (FTSB) and Brandrich Fire Solutions Sdn Bhd (BRSB) for a total of RM4.23mil.
In a filing with Bursa Malaysia, Powerwell said it entered into two share sale agreements with Lai Cheng Kuan and Tai Kwang Tong to acquire a 51% stake in FTSB and BRSB for RM2.96mil and RM1.26mil, respectively.
FTSB specialises in fire suppression and prevention solutions, offering proprietary products under the "Firerex" brand, including inert gas and chemical-based systems.
BRSB provides fire suppression and prevention solutions, offering imported fire protection products for hospitals, substations, utility plants, manufacturing, and commercial and residential projects.
Powerwell said the acquisition will be funded through internally generated funds from the company and/or its subsidiaries.
“The proposed acquisition provides an opportunity for the company to venture into the business undertaken by FTSB and BRSB i.e. fire suppression and fire prevention.
“By leveraging Powerwell’s extensive clientele from both overseas and local market, we anticipate numerous cross-selling opportunities that will be highly beneficial for the group’s growth and overall business expansion,” it said.
