KUALA LUMPUR (Oct 12): Steel manufacturer Malaysia Steel Works (KL) Bhd (KL:MASTEEL) on Monday announced the acquisition of a 51% stake in a high-voltage electrical engineering firm for RM12 million to expand into power infrastructure and data centre construction, as well as a proposed placement of nearly 4% of its issued share base to raise up to RM5.78 million for working capital.
The group said in a bourse filing that the acquisition of Anpec Global Corporation Sdn Bhd will allow it to tap into the latter’s engineering capabilities and contracts with major utility companies, including Tenaga Nasional Bhd (KL:TENAGA) and Sabah Electricity Sdn Bhd.
Masteel has entered into a share sale agreement with Anpec founder and CEO Abd Rasid Mohamed Salleh for the acquisition. The purchase will be satisfied through RM3 million cash from internal funds, and the issuance of 45 million new Masteel shares at 20 sen apiece — a 7.93% premium to Masteel’s five-day volume-weighted average market price (VWAMP) of 18.53 sen up to Oct 9.