KUALA LUMPUR: Lion Industries Corp Bhd’s 99 per cent-owned Amsteel Mills Sdn Bhd is selling its 100 per cent stake in Antara Steel Mills Sdn Bhd to Esteel Enterprise Pte Ltd for US$158.82 million or about RM663.85 million under an all-cash deal.
In a filing with Bursa Malaysia today, Lion Industries said Amsteel had entered into a conditional sale and purchase agreement with Esteel Enterprise yesterday for the proposed disposal of its entire 218 million shares and 30 million redeemable preference shares in Antara.
“The proposed disposal would enable the group to unlock the value of Antara and realise a substantial gain of about RM403.10 million that will enhance and consolidate its financial position,” Lion Industries added.
The group said the disposal was timely for it to consider investments in the future and investments related to the proposed expansion into flat steel business.
Lion Industries expects the disposal to be completed by the middle of February next year.
Source: New Straits Times
