KUALA LUMPUR: Kanger International Bhd aims to build its business with Chinese firms involved in the medical field and bamboo processing, says its executive director Steven Kuah.
Kuah told the New Straits Times top in the list was to distribute the Covid-19 vaccine in Malaysia soon, and regionally from early next year.
"Today's meeting between the Malaysian and Chinese governments talks about the development of Covid-19 vaccines to curb the spread of the infectious virus.
"This is a big boost for the pharmaceutical sector. We are moving into the sector through our partnership with one of the top medical groups from China to distribute Covid-19 vaccines here and in Southeast Asia," he said.
Malaysia has been listed by China as a "priority recipient" of the four Chinese-developed vaccines for Covid-19 currently in late-stage trials.
Foreign Minister Datuk Seri Hishammuddin Tun Hussein announced this in a joint news conference after the bilateral meeting with his visiting Chinese counterpart Wang Yi, here.
Hishammuddin said Malaysia was monitoring closely the development of the Covid-19 vaccine and added that it is a matter of high priority of the government.
Last month, Kanger secured a strategic collaboration agreement with Sinopharm Group Hunan Changde Medical Co Ltd to distribute a potential vaccine and medical equipment in the Malaysian market.
China National Biotec Group Co Ltd, a subsidiary of Sinopharm Group has developed a Covid-19 vaccine called Vero Cell.
It was reported that Vero Cell appeared to be safe and triggered antibody-based immune responses in early and mid-stage trials.
Sinopharm is testing the vaccine in over 10 countries around the world, including the United Arab Emirates in a Phase 3 trial.
Meanwhile, Kanger has today proposed a capital raising exercise to raise gross proceeds of up to RM69 million.
Kuah said the company planned to use part of the proceed for its healthcare venture.
"This is a long term plan for Kanger to improve its performance," Kuah said.
In a filing with Bursa Malaysia, Kanger said it intends to pursue business expansion or future viable investment into the healthcare industry.
It may expand via mergers and acquisitions, joint venture, collaborative arrangements, business agreements in the healthcare sector.
The exercise involves the issuance of up to 20 per cent of Kanger's total number of issued shares at an indicative issue price of 17.8 sen per placement share.
As at October 1 this year, the company's total issued share capital stood at RM157.83 million comprising 1.83 billion shares.
Kanger said it would use up to RM34 million of the proceeds for future investment, and around RM34.4 million for working capital to expand its existing business.
Kuah said Kanger was set to become the world's largest producer of bamboo products with the commencement of its new bamboo processing plant and R&D centre in China, developed in collaboration with the local government of Jingzhou, Hunan province.
"This is a big achievement for Kanger. We invested over RM100 million for the plant and aim to tap the global market," he said.