KUALA LUMPUR (May 4): Sarawak Consolidated Industries Bhd (KL:SCIB) said the group’s RM151.2 million divestment exercise received shareholders' approval at an extraordinary general meeting on Monday.

The exercise comprises the disposal of the group's entire stake in SCIB Concrete Manufacturing Sdn Bhd for RM113 million and the sale of seven parcels of land valued at RM38.19 million.

In a statement, SCIB said the divestment forms part of its strategic reset to unlock value from its manufacturing operations and landbank while refocusing on engineering, procurement, construction and commissioning (EPCC) activities.

In addition, the group said the disposals are expected to strengthen its balance sheet through improved liquidity and cash inflows.

SCIB said proceeds will be used to fund ongoing and upcoming construction and EPCC projects, support property development, and enhance working capital and capital structure.

“We are effectively resetting SCIB on a stronger, more focused foundation,” said SCIB executive chairman Chong Loong Men.

As at end-December 2025, SCIB’s accumulated losses widened to RM103.9 million from RM78.2 million as at end-June 2024 while total liabilities rose to RM201.9 million from RM133.2 million.

The group had cash and bank balances of RM22.2 million against total borrowings of RM38 million as at end-December last year.

Shares of SCIB closed up half a sen or 3.7% at 14 sen on Monday, giving it a market capitalisation of RM99.52 million.