Hextar Industries Berhad (KLSE:HEXIND) entered into an agreement to acquire Hextar Fertilizers Limited from Hextar Holdings Sdn Bhd. for MYR 480 million on August 8, 2022. The purchase consideration of RM480.0 million will be wholly satisfied through the issuance of 1.6 billion new ordinary shares in HIB (“Consideration Shares”) at an issue price of MYR 0.30 per Consideration Share. HHSB has given a profit guarantee of an aggregate of MYR 94 million over 2 years. 1.2 billion shares will be issued as consideration the vendor and 03 billion shares will be issued as qurterly payment over the period of 2 years if the company attains the guaranteed Profit after tax. The Proposed Acquisition is subject to approvals being obtained from Bursa Securities, for the listing of and quotation for the Consideration Shares on the ACE Market of Bursa Securities, non-interested shareholders of HIB and approval of the directors and members of the Vendor in relation to the disposal of the Sale Shares.The transaction is conditional upon satisfactory legal, financial and/or business due diligence findings on the HFL Group by the Purchaser. HFL group recorded revenue of MYR 0.6 billion, Common equity of MYR 53.8 million, total debt of MYR 0.3 billion M&A Securities and Malacca Securities Sdn Bhd acted as financial advisor to Hextar Industries Berhad. The transaction is expected to be completed in the fourth quarter of the calendar year 2022. As of September 20, 2022, Bursa Malaysia Securities Berhad has approved the listing and quotation of 1,600,000,000 new ordinary shares in Hextar Industries. Hextar Industries has required to ensure full compliance of all the listing requirements. As of October 12, 2022, Hextar Industries Berhad shareholders approved the transaction. M&A Securities announced that the solicitors for the transaction confirmed that the conditions precedent have been fulfilled and transaction has now become unconditional. M&A Securities on behalf of the Hextar Holdings Sdn Bhd, had served a notice on the Board of Directors of the Hextar Industries Berhad in relation to the unconditional mandatory take-over offer by the Hextar Holdings Sdn Bhd to acquire all the Offer Shares for a cash offer price of MYR 0.38175 per Offer Share fully satisfied in cash. As of November 2, 2022, the offer document in relation to Offer was issued to extend a formal take-over offer by the Hextar Holdings Sdn Bhd to acquire your Offer Shares. The Offer is not conditional upon any minimum level of acceptances of the Offer Shares as the Hextar Holdings Sdn Bhd would be holding more than 50% of the voting shares in the Hextar Industries Berhad upon the issuance of the Consideration Shares. The Hextar Holdings Sdn Bhd intends to maintain the listing status of the Offeree on the ACE Market of Bursa Malaysia Securities Berhad.

Hextar Industries Berhad (KLSE:HEXIND) completed the acquisition Hextar Fertilizers Limited from Hextar Holdings Sdn Bhd. on December 7, 2022.