Hiap Teck shares rise after announcing plan to restart Eastern Steel
05 Apr 2018 / 11:54 H.
PETALING JAYA: Hiap Teck Venture Bhd’s share price rose 5.48% this morning on news of its efforts to restart operations of Eastern Steel Sdn Bhd (ESSB).
At 11.31am, its share price rose 5.48% or 2 sen to 38.5 sen with 3.06 million shares traded.
Hiap Teck is disposing of a 20% stake and shareholders advances in ESSB to China’s Jianlong Industry Company Limited for 225.6 million yuan (RM139.3 million) cash, which will see Jianlong emerge as a controlling shareholder with 60% stake in ESSB.
The proposed disposal, which will result in Hiap Teck holding a 35% interest in ESSB, is in line with the group’s plan to bring in a new strategic partner to resume the operations of ESSB, which have been halted since October 2015.