KUALA LUMPUR, Oct 5 — Ancom Nylex Berhad (formerly known as Ancom Berhad), a leader in chemical manufacturing, today announced the completion of its 25 per cent equity interest in Ancom-Chemquest Terminals Sdn Bhd (ACT) for RM4 million in cash.
As a result of the acquisition, Ancom Nylex together with Ancom Logistics Berhad (which has an effective 51 per cent ownership of ACT) would have an effective interest of around 42 per cent of ACT.
“We are happy to be able to increase our stake in ACT from 17 per cent to 42 per cent. This gives us greater control over the chemical tank farm business, which plays an important supporting role in our industrial chemical distribution business.
“The increased ownership allows us the flexibility to improve and scale, as we aim to achieve higher operational efficiency moving forward,” managing director and group CEO of Ancom Nylex Berhad, Lee Cheun Wei said.
Meanwhile, Ancom Nylex said the company is in the process of finalising a proposed acquisition of the remaining 24 per cent stake of ACT from its Thai partners for a cash consideration of RM3.8 million.
“The proposed acquisition of a further 24 per cent stake in the chemical tank farm business will eventually increase our interest to 66 per cent.
“This is in line with the group’s overall consolidation plan as we strive to become a major integrated chemical group in the Asia Pacific region,” Lee said.
Upon completion of the proposed acquisitions, Ancom Nylex will have an effective 66 per cent ownership of ACT.