Luster denies lack of progress in business dealings

PETALING JAYA: Luster Industries Bhd has refuted claims that there has been no progress in business dealings that it entered into the last two years.
It said the memorandum of understanding it entered into with Hong Kong-based City-Champ International Ltd last week is to explore further the opportunity presented and to have further verifications before deciding to enter into a sale and purchase agreement.
“The company will make a detail announcement to Bursa if the company decides to enter into the sale and purchase agreement,” it said in response to a report by a business weekly.
Recall that Luster was looking to acquire City-Champ’s stake in New Harvest Asia Investment Ltd, which is in the midst of acquiring SS Ventures Ltd, a startup company that focuses on providing taxi hailing technology platform.
On another note, Luster said Pan Cambodian Lottery Corp Ltd, which it acquired last April, is already in operation and recorded an audited net profit of US$500,000 (RM2 million) in 2015.
Luster also said Exzone Plastics Manufacturers Sdn Bhd is an active company that registered RM46.7 million in revenue for 2015.
However, it said, mining plans have been put on hold due to the depressed commodity prices globally. “However, Luster is currently negotiating with a few parties to enlarge the area of mining in order to achieve more sustainable economies of scale for its operations.”
As for the property development plan with Koperasi Hartanah Malaysia Bhd, Luster said it inked a tripartite agreement on March 9 for the development of an affordable homes project in Perak. Construction has started and the project is targeted for completion by the end of this year.