KUALA LUMPUR: UMW Holdings Bhd, which has a cash hoard of some RM1.5 billion, said it was not planning any acquisitions at this time as it needed to focus on consolidating existing businesses.

UMW group managing director and chief executive Datuk Abdul Halim Harun said the oil and gas and automotive group still had a lot to chew after its recent acquisitions and expansion, including in the area of fabrication.

In that light, UMW had no plans to buy into Ramunia Holdings Bhd as reported recently, he told The Edge Financial Daily via telephone yesterday.

“We have just established our fabrication operations. We want to focus on growing that for now.

“We want to consolidate ourselves first and take on a stronger position before any more acquisition,” he said.

In reply to a Bursa Malaysia query yesterday, UMW confirmed that it had no intention to compete with palm oil giant Sime Darby Bhd and make an offer for Ramunia.It also confirmed that it was not in discussions with any party to buy Ramunia.

UMW closed 2.5% or 15 sen higher at RM5.95 with 957,400 shares done yesterday.

For the year ended Dec 31, 2008, UMW posted a net profit of RM562.29 million on the back of a RM12.8 billion revenue. Earnings per share was 51.95 sen.

Earlier this week, Sime Darby, the country’s largest listed planter, made an offer to acquire the assets and liabilities of Ramunia and its units for RM232 million.

Last November, MISC Bhd scrapped a proposed RM3.2 billion offer for Ramunia due to unsatisfactory evaluation of the bid.

This article appeared in The Edge Financial Daily, May 7, 2009.