Straits eyes industry partnership. File Image / Pixabay
Malaysia’s Straits Inter Logistics Berhad (Straits) says it wants to divest 43% of its new bunker business as part of a plan to collaborate with other industry players.
The Straits Marine Fuels & Energy Sdn. Bhd (SMF) unit was formed last November and is currently a wholly-owned subsidiary of parent Straits.
“The Board is of the view that the business of SMF requires bigger platform, specialised skills and increased management focus to grow effectively, maximise the potential value and bring synergistic effect to its existing assets and operations,” the comply explained in an announcement posted to Bursa Malaysia.
“The Proposed Divestment is not only as a divestment of assets but also mainly a formation of a strategic partnership with the Parties and is essential for and complements the continuous growth of Straits.”
The identity of the partnership parties was not revealed but Straits said it will be entering into a Shareholders’ Agreement with them in due course and will make further announces to Bursa accordingly.