KUALA LUMPUR: Practice Note 17 company KNM Group Bhd is going back to the drawing board for its proposed disposal of FBM Hudson Italiana S.P.A after a second attempt to do so fell through.
In a filing with Bursa Malaysia Securities Bhd yesterday, the group said an earlier share purchase agreement entered by KNM Europa B.V with BM Carpenterie Oil & Gas S.r.l., (BMC) and Officine Piccoli S.p.A., to dispose its 100 per cent interest in FBM Hudson expired on June 30, 2024.
KNM said the company has received offers of purchase from other interested parties and is currently evaluating its options.
Last month, the Italian government rejected KNM's bid to dispose of its entire stake in FBM Hudson for Euro 16.5 million (RM76 million) to BMC, and Officine.
Established in 1941, FBM Hudson is principally engaged in the design and manufacture of heat exchangers and high-pressure equipment for oil and gas, chemical, petrochemical, oil refining, power and fertiliser.
The sale of loss-making FBM Hudson is part of KNM's plan to regularise its financial condition.
The group has gone to court to get a new proposed scheme of arrangement sanctioned and is working with a majority of its lenders to achieving a mutually acceptable resolution of the settlement of the monies due from the monetisation of non-core assets and IPO/Sale of Borsig GmbH.
The company's stock last traded at 8.5 sen a share, giving it a market capitalisation of RM343.9 million.