CCM buys remaining 20% stake in CCM Chemicals for RM40m

PETALING JAYA: Chemical Company of Malaysia Bhd (CCM) is acquiring the remaining 20% stake in CCM Chemicals Sdn Bhd for RM40 million cash, in a bid to further consolidate its existing chemicals division and strengthen its position in the chemical industry.
Upon completion, CCM Chemicals will be the wholly owned subsidiary of CCM.
The group told Bursa Malaysia that it had entered into sale of shares agreements with Lanjut Setia Sdn Bhd and Permodalan Nasional Bhd for the acquisition of a 10% stake for RM20 million each.
CCM noted that over the years, it has sought to continuously review its portfolio and strengthen its balance sheet. As part of the growth strategy, it is continuing to pare down its borrowings and improve its gearing.
At market close, CCM shares rose two sen to RM1.45, with some 614,200 shares changing hands.