KUALA LUMPUR: KNM Group Bhd shareholders have approved the sale of Deutsche KNM GmbH (DKNM) to Japan’s NGK Insulators Ltd at an extraordinary general meeting (EGM) held today.
The Practice Note 17 (PN17) company said 93.74 per cent of shareholders voted in favour of the resolution, reflecting strong confidence in the company’s direction.
The approval paves the way for the €270 million (about RM1.3 billion) disposal of DKNM, a move that will significantly strengthen KNM’s balance sheet by reducing debt and providing fresh working capital to revitalise its Malaysian operations.
The EGM was also attended by the Minority Shareholders Watch Group (MSWG) as observer, which raised several questions that were addressed by the board and management.
KNM chairman Tunku Datuk Yaacob Khyra described the approval as a major step towards the group’s turnaround.
“The overwhelming support from shareholders today — as the last outstanding condition precedent — was key to sealing this deal,” he said in a statement.
Chief executive officer Ravindrasingham Balasingham said the approval marks an important step in restoring KNM’s financial health and setting the stage for sustainable growth.
The EGM was originally scheduled for Oct 30, but Bursa Malaysia had sought a court injunction to restrain the meeting from proceeding or tabling the disposal until listing requirements were met.
KNM later adjourned the meeting to Nov 6, a day after its planned delisting from the exchange, allowing the vote to proceed without being subject to Bursa’s listing rules.
© New Straits Times Press (M) Bhd
