Chemical Co of Malaysia Bhd (CCM) has proposed to buy the remaining 20% equity interest in CCM Chemicals Sdn Bhd from Lanjut Setia Sdn Bhd (LSSB) and Permodalan Nasional Bhd (PNB) for RM40 million. LSSB and PNB each hold a 10% stake in CCM Chemicals, while PNB controls over 70% of CCM.
In an exchange filing yesterday, CCM noted both acquisitions will consolidate its existing chemical division and effectively make CCM Chemicals its wholly owned subsidiary.
The industrial and specialty chemicals company said the proposed acquisit ion is expected to be completed by the end of December 2017.
The proposed acquisitions will be funded through partial proceeds from a proposed private placement exercise and/or internally generated funds and will not be expected to have any material effect on CCM’s