KUALA LUMPUR(Jan 18): Ranhill Holdings Bhd plans to operate a wastewater treatment plant for Maoping Industrial Park in the Yongxin County, Jiangxi Province in China, through the incorporation of Ranhill (Yongxin) Water Co Ltd.
In a filing with Bursa Malaysia today, Ranhill said its indirect subsidiary, Ranhill Water Hong Kong Ltd (RWHK), has formed Ranhill (Yongxin) in China on Jan 15, 2016. Ranhill (Yongxin) is deemed a wholly-owned subsidiary of RWHK.
Ranill (Yongxin), which has yet to commence its business, will principally undertake the design, construction and operation of the wastewater treatment plant.
The registered capital of Ranhill (Yongxin) is US$5 million(RM22.04 million), all of which has not been fully paid-in.
“As a company incorporated in China, Ranhill (Yongxin) does not have an authorised share capital, and is not a share-issuing company, its registered capital represents its equity interests once it has been paid-in,” read the group’s announcement.
The group added that the formation of Ranhill (Yongxin) is not expected to have any materials effects on the earnings or net assets of the company for the financial year ending Dec 31, 2016.
“The board of directors is of the opinion that the formation is to undertake future business expansion and is in the best interest of the company,” said the group.
Ranhill, which is scheduled to be listed on Bursa Malaysia on Feb 18, 2016 via a reverse takeover of Symphony House Bhd, said in its prospectus that proceeds from its initial public offering (IPO) will be used to cut debt and finance its water projects in China.
Its IPO shares are priced at an indicative RM1.70 each to raise up to RM637.5 million.
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