KUALA LUMPUR, June 10 (Bernama) -- Polymer Link Holdings Bhd’s wholly-owned subsidiary, Polymer Link Sdn Bhd (PLSB), has proposed to acquired a leasehold industrial land in Perdana Industrial Park, Port Klang for a total purchase consideration of RM14.40 million to construct a factory.
The 99-year leasehold land has a net area of 19,974 square metres.
In a filing to Bursa Malaysia today, Polymer Link said that the acquisition would enable PLSB to build its own factory and further strengthen the capabilities of its manufacturing activities of pulverising of pellets in its natural form or compounded in colours to serve a wide range of plastic product manufacturers.
“In addition, Polymer Link has diversified its business activities by expanding into trading and servicing of air compressor system with the acquisition of MAQQO Synergy Engineering Sdn Bhd (MSESB),” it said, adding MSESB currently operates from PLSB’s rented factory, located within two kilometres of the industrial land, with a total gross land area of 5,995 square metres.
“The floor space of the current premises is not sufficient to cater to the said expansion as MSESB requires a bigger space to store inventories, relevant parts and equipment,” it added.
With the acquisition and the construction of a new factory building for the manufacturing of compounded and non-compounded plastic powder and bigger space for the storage of the compressors, Polymer Link said PLSB would be able to possess its own factory building for its long-term business interest.
“We would also be in the full control of the intended factory building, reduce the expenses incurred on the rental of existing factory building, as well as take full advantage of the potential appreciation in land values and the net assets of the company,” it said.
The acquisition is expected to be completed in the fourth quarter of this year.