KUALA LUMPUR (April 1): Concrete Engineering Products Bhd (KL:CEPCO) has received a takeover offer worth RM2.60 per share from YTL Cement Bhd.
Privately held YTL Cement, the building materials unit of YTL Corporation Bhd (KL:YTL), is buying 32.92 million shares or a 53.49% stake in Concrete Engineering for RM103.79 million.
Inch Kenneth Kajang Rubber Public Limited Company (KL:INCKEN), which holds a 19.32% stake in Concrete Engineering, and Datuk Dr Che Muhamad Fasir Samsudin are among the sellers. Muhamad Fasir is selling a 4.09% stake, while his son Muhammad Firdaus Muhamad Fasir is selling a 4.67% interest.
Under listing rules, YTL Cement is required to extend the offer to the rest of Concrete Engineering’s minority shareholders.
The offer price of RM2.60 represents a premium of 73 sen, or 39%, to Concrete Engineering’s last traded price of RM1.87 prior to its suspension on Wednesday morning.
It also translates into premiums ranging from about 60% to over 90% against the stock’s volume-weighted average market prices over the past one month to one year.
YTL Cement said it intends to maintain Concrete Engineering’s listing status on the Main Market of Bursa Malaysia.
Concrete Engineering is involved in the manufacture and sale of prestressed spun concrete piles and poles, which are widely used in infrastructure, building and utility projects across Asia, Africa, Oceania and the Gulf region, according to its annual report.
For the first quarter ended Nov 30, 2025 (1QFY2026), Concrete Engineering narrowed its net loss to RM2.88 million from RM5.99 million, as revenue grew 8.3% to RM13.08 million from RM12 million.
The deal comes just under two weeks after Concrete Engineering settled a RM16.8 million debt to Muhamad Fasri by transferring its 12.68% stake in Inch Kenneth Kajang Rubber to him instead of paying cash. Muhamad Fasri’s 60%-owned FA Securities Sdn Bhd, which owned another 15.46% in Concrete Engineering, exited the company two days later, or on March 19, 2026, selling all of its shares via direct business transactions. No subsequent announcement of a new substantial sherholder was made. Muhamad Fasri’s daughter Fadhlina Muhammad Fasri is Concrete Engineering’s chief operating officer.
Concrete Engineering’s stock, which hadn’t gone above RM1.17 in at least six months, began rising on March 9 and hit a 19-year high of RM1.99 on March 25, 2026. Its shares will resume trading on April 2.
Inch Kenneth Kajang Rubber: Disposal to streamline non-core assets
In a separate filing, Inch Kenneth Kajang Rubber said the disposal of its 19.32% stake in Concrete Engineering to YTL Cement is part of efforts to streamline its non-core assets and focus on its core businesses — tourism, property development and rubber manufacturing.
The original cost of the investment was RM40.91 million, while its net book value stood at RM17.51 million after impairments and a prior partial disposal, resulting in an estimated gain of RM19.97 million.
“The proceeds from the disposal would be used to reduce its creditors and provide working capital for the enhancement of its subsidiaries,” the group said. “In addition, the proceeds received could be reallocated to mainly fund the group’s existing businesses, future business expansions and/or any future prospective businesses”.
Inch Kenneth Kajang Rubber counts Muhamad Fasir as its largest shareholder, holding an indirect 11.46% and a direct 0.78% stake in the company, on top of the 12.68% stake transferred from Concrete Engineering. As at April 1, 2026, the additional interest in Inch Kenneth Kajang Rubber has not been disclosed to Bursa Malaysia, even though notice of Concrete Engineering ceasing to be a substantial shareholder was made on March 16, 2026.
Shares of Inch Kenneth Kajang Rubber hit an eight-month high of 46 sen earlier on Wednesday before paring some of its gains to end the day up 20% to 42 sen, valuing the group at RM141.4 million. YTL Corp’s share price rose 3.55% to RM1.75, giving it a market capitalisation of RM20.31 billion.