KUALA LUMPUR: EA Technique (M) Bhd's shareholders have approved the proposed issuance of up to 795.75 million new shares to raise RM79.6 million, or about 60 per cent of the company's enlarged share capital.
Proceeds from the shares issuance are earmarked for EATech's financial obligations, including RM31 million for scheme creditors, RM26 million for Sindora and RM19.7 million for general working capital over the next 24 months.
In the extraordinary general meeting today, the company also got the nod from its shareholders to exclude Datuk Wira Mubarak Hussain Akhtar Husin and Voultier Sdn Bhd (VSB) from the obligation to undertake a mandatory takeover offer.
Following the exercise, VSB will emerge as the largest shareholder with a 51 per cen stake in the marine transportation and offshore storage company.
VSB is owned 70 per cent by Mubarak, who is also Kinergy Advancement Bhd (KAB) non-independent non-executive director, and 30 per cent by Datuk Lai Keng Onn, KAB executive deputy chairman and group managing director.
EATech chief executive officer Nasrul Asni Muhammad Dain said the provided capital will solidly back a healthy regularisation strategy and catalyse future growth.
"Upon the successful completion of the proposed regularisation plan, our immediate strategic priority is to expediently uplift the PN17 status to reaffirm EATech as a resilient and thriving entity.
"Our turnaround plan was a pivotal milestone in demonstrating our sustained profitability over seven consecutive quarters from third quarter of 2022 to first quarter of 2024," he said in a statement today.
Described as "white knights" entering EATech, the company are convinced that Mubarak and Lai's vast experience positions them to bring valuable resources to the company.
EATech expects to recognise a one-off net income of RM127.4 million from the debt waivers, significantly improving its financial health with net tangible assets (NTA) increasing from RM57.4 million to RM261.6 million.
Mubarak highlighted that he and Lai recognise the immense potential in EATech where they aim to expand the company and deliver substantial value to shareholders.
"By leveraging our resources and expertise, we aim to strengthen the essential the core of EA Tech's current business. We aim to transform its vision into a leading entity in the marine transportation and offshore storage industry, thereby enhancing shareholder value along the way.
"With Petronas planning significant investments in exploration, development, and production, EATech is well-positioned to benefit from increased demand for its services," he added.