KUALA LUMPUR (Dec 2): Eversendai Corp Bhd is buying a 70% stake in Thailand-based S-Con Engineering Co Ltd for 30 million baht (RM3.55 million), a move that will help the buyer expand into the neighbouring country’s power sector.
In a statement to Bursa Malaysia today, Eversendai said it had today signed a conditional share subscription agreement with Anuchart Suphannarat and S-Con.
Anuchart is the founder and owner of S-Con, which specialises in steel fabrication and installation.
“The subscription is in line with the company’s business plan to expand its [foothold] in the Southeast Asia region and is a good opportunity for the company to venture into Thailand with a ready infrastructure set up and an established future income stream.
“The acquisition will also enable the company to utilise S-Con’s good track record to strategically develop and strengthen its established working relationship with its international clients to undertake future structural steel and power plant projects in Thailand,” Eversendai said.
Eversendai said it financed the purchase with its internal funds.
At 12.30pm, Eversendai shares fell 2.5 sen or 3% to settle at 84 sen for a market capitalisation of RM650.1 million.
The stock saw some two million shares done.