PETALING JAYA: The RM450mil proposed merger between Ekovest Bhd
’s construction arm and Knusford Bhd, both linked to Tan Sri Lim Kang Hoo, fell through after nearly three years in the works.
In a filing with Bursa Malaysia yesterday, Ekovest announced that the heads of merger agreement had lapsed on July 27, after multiple rounds of extension.
The agreement was signed on Oct 2023 to explore the merger of Ekovest Construction Sdn Bhd (ECSB) with Knusford.
Under the proposal, Ekovest will dispose of its entire stake in the wholly-owned subsidiary ECSB to Knusford for RM450mil. Knusford will finance the purchase via the issuance of new shares at 60 sen per share.
Lim is a major shareholder of both Ekovest and Knusford, with a 28.01% stake in Ekovest and a 32.53% stake in Knusford via Kingston Park Sdn Bhd.
