KUALA LUMPUR: MCE Holdings Bhd
is acquiring a 50% equity interest in FP Project Enterprise Sdn Bhd for RM1.9mil to strengthen its upstream capabilities and supply chain integration.
In a filing with Bursa Malaysia, MCE said its indirect 50%-owned subsidiary, Eagle MCE Technologies (Malaysia) Sdn Bhd, had entered into a share sale agreement with Lim Wei Huat to acquire 250,000 shares, or 50% in FP Project.
Upon completion, FP Project will become an indirect 50%-owned subsidiary, with MCE set to raise its stake to 80% following a proposed share allotment under a shareholders' agreement with existing director, Lim See Chiang.
FP Project, a key supplier to the MCE Group, is principally engaged in plastic injection and tooling fabrication.
“The acquisition is in line with the MCE Group’s strategic objective to strengthen its core operations, enhance upstream capabilities, and drive long-term value creation,” MCE said.
It added that the acquisition will enable greater control over manufacturing processes, improve cost efficiency and reduce reliance on external suppliers, while supporting expansion into non-automotive segments.
“In addition, the acquisition strengthens the MCE Group’s upstream capabilities beyond the automotive segment, positioning it to capture opportunities in non-automotive industries and diversify its revenue base,” it said.
The deal will be funded via internally generated funds and is not expected to have a material impact on earnings or net assets for the financial year ending July 31, 2026, but is expected to contribute from the fourth quarter onwards.
