SCIENTEX UNIT TO ACQUIRE 80.2 PCT OF TAISEI LAMICK, EXPECTS BIGGER MARKET SHARE IN PACKAGING SECTOR

KUALA LUMPUR, Sept 2 (Bernama) -- Scientex Bhd's wholly-owned subsidiary, Scientex Packaging Film Sdn Bhd, has signed a share sale agreement (SSA) with Taisei Lamick Co Ltd to acquire an 80.2 per cent equity interest in Taisei Lamick Malaysia Sdn Bhd (TLM) for RM63.78 million cash. 

TLM is involved in the manufacturing and sale of printed and laminated flexible light packaging materials and the sale and lease of machinery (Dangan Machinery Business).

In a filing with Bursa Malaysia today, Scientex said the proposed acquisition would provide an opportunity for the group to expand within the flexible plastic packaging sector as it is involved in packaging and property development segment.

"With the similarity in business nature, it enables the enlarged Scientex Group to benefit from the increased and larger market share in flexible plastic packaging industry, as well as to leverage on its competitive advantage in the manufacturing of flexible plastic packaging products," the company said. 

The purchase consideration, to be funded by internally generated funds and/ or bank borrowings, is on a willing-buyer willng-seller basis after taking into account the historical financial statement of TLM with net asset of RM79.87 million as at March 31, 2022 and its future prospects.

The proposed acquisition would also see Scientex partnering TLM which has developed a strong reputation and is a market leader in Japan for liquid and paste packaging systems.

Overall, the proposed acquisition is expected to further enhance Scientex group’s competitive edge as it aspires to be a regional leader in the flexible plastic packaging market. 

-- BERNAMA