This article first appeared in The Edge Financial Daily, on December 4, 2015.

KUALA LUMPUR: Halex International Sdn Bhd, a subsidiary of Halex Holding Bhd, has terminated its memorandum of understanding (MoU) with Goh Teik Keng, the major shareholder of VW Win Holdings plc, in relation to its proposed acquisition of at least a 51% stake in VW Win.

In its filing with Bursa Malaysia yesterday, Halex said the company was not provided with complete documentation to enable it to carry out the requisite due diligence exercise as stipulated in the MoU, and as such, has decided to terminate the MoU.

To recap, Halex on Sept 14 entered into the MoU to acquire the stake in VW Win, which currently operates a licensed lottery gaming business in Cambodia, and intends to apply for and operate an online gaming licence in the kingdom.

The conditions stipulated in the MoU include Halex International receiving a written approval from the relevant authorities in Cambodia with regard to the proposed sale and purchase of the shares; completing a legal and financial due diligence on the business of VW Win; and obtaining the approval of shareholders, Bursa Malaysia and the Securities Commission Malaysia in relation to the proposed acquisition.

The MoU also stated that VW Win must obtain a valid online gaming licence in Cambodia.

Agrochemicals and healthcare disposable products manufacturer Halex saw its share price close 6.5 sen or 10.57% higher yesterday at 68 sen, with a market capitalisation of RM72.06 million.