YTL Cement assets may be injected into Lafarge
Emmanuel Samarathisa | 27 Sep 2019 00:30
YTL Cement Bhd may inject its assets into Lafarge Malaysia Bhd in a move to ease doing business with each other, say sources familiar with the matter. This comes after minority shareholders of Lafarge scuttled a resolution that would see YTL Cement trade with its subsidiary across a range of goods and services.
“This has been mooted from time to time. It wasn’t on the table when YTL Cement wanted to buy Lafarge. But the idea has been brought out from time to time, more so recently after minority shareholders voted against a resolution for Lafarge to conduct recurrent related party transactions (RRPTs) with YTL Cement. And as YTL Cement is unlisted, they intend to keep the Lafarge listing status,” one of the sources says.
On Sept 23, minorities at an extraordinary general meeting (EGM) gunned down Lafarge’s first resolution to undertake RRPTs worth RM3.51 bil with controlling shareholder YTL Cement and its subsidiaries.
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