Ekovest Secures Extension for Merger Talks with Knusford
Deal News | Jan 27, 2025 | EIN
Ekovest Bhd has received a final six-month extension from January 28, 2025, to July 27, 2025, to continue its merger discussions with Knusford Bhd. The merger talks involve Ekovest's wholly-owned subsidiary, Ekovest Construction Sdn Bhd (ECSB), and Knusford Bhd. The extension granted by Bursa Malaysia allows both companies to further assess, evaluate, and negotiate the terms of the merger. Ekovest had initially signed a binding heads of agreement with Knusford and its major shareholders, including Tan Sri Lim Kang Hoo, to consolidate construction and construction-related businesses under Knusford. As part of the merger proposal, Ekovest plans to sell its entire stake in ECSB to Knusford for RM450 million, with the acquisition funded by new shares issued at 60 sen per share.
Sectors
- Construction & Engineering
- Mergers & Acquisitions
Geography
- Malaysia – Both Ekovest and Knusford are Malaysian companies and the merger discussions are taking place in Malaysia.
Industry
- Construction & Engineering – The article discusses the proposed merger between construction-related businesses of Ekovest and Knusford.
- Mergers & Acquisitions – The primary focus of the article is on the merger discussions between Ekovest and Knusford.
Financials
- RM450 million – The proposed sale price for Ekovest's stake in Ekovest Construction to Knusford.
- 60 sen per share – The price at which new shares will be issued to fund the acquisition.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Ekovest Bhd | Target Company | Company | A Malaysian investment holding company involved in infrastructure development. |
| Ekovest Construction Sdn Bhd | Wholly-owned Subsidiary of Ekovest | Company | The construction arm of Ekovest Bhd. |
| Knusford Bhd | Bidding Company/Buyer | Company | A Malaysian-based investment holding company involved in construction and construction-related services. |
| Tan Sri Lim Kang Hoo | Major Shareholder | Person | A major shareholder involved in the merger agreement discussions. |