EG Industries expands Thailand footprint with RM6.1mil land deal


EG Industries Group CEO Datuk Alex Kang

KUALA LUMPUR: EG Industries Bhd’s wholly-owned subsidiary, SMT Industries Co., Ltd. (SMTI), has proposed to acquire a piece of freehold industrial land in Prachinburi, Thailand, for RM6.1mil.

In a filing with Bursa Malaysia, EG said the land, measuring about 4.95 acres and located at 304 Industrial Park, Prachinburi, will be used to build a single-storey manufacturing facility.

EG said the proposed acquisition will be funded through a combination of internally generated funds and bank borrowings.

“The proposed acquisition is principally driven by requests from the group’s prospective US-based customers to establish additional manufacturing facility in Thailand to support the production of electricity storage components, as well as related products for electrical vehicles and data centres,” it said.

The total estimated cost of the new facility, including land and construction, is about RM40mil.

EG said the construction of the new factory is expected to be completed by the end of 2026, barring unforeseen circumstances.

Group chief executive officer Datuk Alex Kang said the proposed acquisition marks a strategic milestone in strengthening the group’s manufacturing footprint in Thailand and positioning the group for its next phase of growth.

He said rising global demand for electric vehicles, energy storage solutions and data centre infrastructure has led customers to seek manufacturing partners with greater scale, flexibility and geographic diversification.

“The new Prachinburi facility will allow us to onboard new customers in high-growth segments while ensuring strict operational segregation to meet confidentiality and compliance requirements.

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