KUALA LUMPUR: OSK Holdings Bhd's subsidiary Olympic Cable Company Sdn Bhd has entered into a sale and purchase agreement with Universal Cable (M) Bhd to acquire its assets.
Universal Cable, currently under liquidation, will be disposing of its two manufacturing plants in Tebrau and Plentong, Johor, together with its land and machinery, for a total purchase consideration of RM85 million.
With this proposed acquisition, OSK said Olympic Cable is poised to expand its capabilities, particularly in the high-voltage cable segment, further solidifying its market presence in Malaysia.
This move also aligns with the group's broader vision of becoming a market leader in the cable manufacturing industry, both domestically and in key regional markets.
OSK managing director Ong Ju Yan said that the acquisition of an existing plant and its operations would accelerate the group's production volume and capabilities.
He added that this strategic acquisition marks a pivotal moment in our growth trajectory.
"By integrating an established plant and its operations, we are not only boosting our production capacity but also accelerating our innovation capabilities.
"This expansion is a critical component of our strategy to grow our presence in the cable manufacturing sector, enhancing our competitive edge in securing major contracts both locally and internationally.
"We are confident that the acquisition will contribute positively to the financial performance of the group in the long run," he said in a statement today.
Currently, Olympic Cable has an extensive portfolio, which includes the manufacturing and sale of copper and aluminium low-voltage and medium-voltage cables, fire-resistant cables, solar DC cables, fibre optic cables, and transmission cables.
The company has a 56-year track record serving industries including power utilities, infrastructure, construction, and buildings.