PETALING JAYA: Kim Teck Cheong Consolidated Bhd (KTC) has accepted the appointment of master distributor by Petronas Dagangan Bhd for all of its Mesra and Mini Mesra stores in Sabah and Sarawak.
KTC told Bursa Malaysia that the appointment is to widen the distribution and sale for 12 selected product categories on behalf of Petronas, for a period of three years from March 1, 2020 to February 28, 2023.
It may be continued after the initial period subject to a review by Petronas as well as conditional upon KTC meeting and complying with the terms and conditions set out.
KTC said the appointment will enable the company to further expand its portfolio of distribution and enhance the procurement capabilities of third party brands and products by strengthening the convenient store channel across Sabah and Sarawak.
“The appointment is expected to contribute positively to the earnings and net assets per share of the group for the financial year ending June 30, 2020.”
At 2.33pm, its shares were trading 2 sen lower at 17 sen on 1.45 million shares done.