KUALA LUMPUR: Rubberex Corporation Bhd has received approval from its shareholders for its proposed acquisition of a 100 per cent stake in Reszon Diagnostics International Sdn Bhd for RM180.0 million.
Rubberex also obtained approval for its proposed diversification into the healthcare business and change of name to Hextar Healthcare Bhd.
Executive director Goh Hsu-Ming said the acquisition presented a good opportunity for the company to venture into the healthcare sector, seeing that the pandemic had raised overall health and safety awareness and created a high demand for healthcare-related products and services in the market.
"By expanding our product offerings, we hope to raise our profile in the market.
"Diversifying into healthcare is in line with the group's overall growth strategy of venturing into other income-generating businesses that are profitable and sustainable for the long-term," he said in a statement.
On the change of its name to Hextar Healthcare, Rubberex owner and sole largest shareholder Datuk Eddie Ong said it would better reflect the company's core business and future undertakings into the broader healthcare sector moving forward.
"We believe that Rubberex's new identity, under the larger Hextar family, will pave the way for new growth trajectories in terms of markets, networks and distribution channels, both here in Malaysia and globally," he added.
The inter-conditional proposals are expected to be completed within the year.