Kulim to list indirect unit E.A Technique on main market

by **Cals** Tue 15 Apr 2014, 01:07

Business & Markets 2014

Written by Ho Wah Foon of theedgemalaysia.com

Monday, 14 April 2014 19:12

KUALA LUMPUR (April 14): Kulim Bhd announced that E.A. Technique, a subsidiary of Kulim held through Sindora Bhd, is seeking listing on the Main Market of Bursa Securities.

To facilitate the initial public offering (IPO), Sindora had today entered into a conditional agreement with Datuk Abdul Hak bin Md. Amin and Datin Hamidah binti Omar to acquire an aggregate of 56,100,000 ordinary shares in E.A. Technique, representing 14.4% of the present issued and paid-up share capital of E.A. Technique for RM30.294 million cash.

E.A. Technique has proposed to undertake a public issue of 114,000,000 new E.A. Technique shares, representing 22.6% of the enlarged issued and paid-up share capital of E.A. Technique.

It will seek the listing for its entire enlarged issued and paid-up share capital of RM126,000,000 comprising 504,000,000 E.A. Technique shares on the Main Market of Bursa Securities.

The IPO is not expected to have any material effect on the earnings of the Kulim group for the FYE 31 December 2014 as Kulim’s indirect shareholding in E.A. Technique will not change significantly before and after the proposed IPO.

“However, the board believes that the proposed IPO will contribute positively to the earnings of Kulim group in the future as E.A. Technique Group will have direct access to the capital market for future growth and expansion,” it said.