Ekovest’s RM1.15 bil Credence acquisition lapses after 9th extension deadline expires

KUALA LUMPUR (Jan 27): Ekovest Bhd said on Monday that its proposed RM1.15 billion acquisition of Credence Resources Bhd (CRSB) from its major shareholder Tan Sri Lim Kang Hoo has lapsed following the expiry of the final extension deadline, after the parties failed to conclude the deal or secure a further extension.

In a bourse filing, Ekovest said the heads of agreement (HOA) signed with Lim to explore and negotiate the acquisition expired on Jan 26, 2026, after nine deadline extensions since it was first announced.

No reason was disclosed for the failure to conclude the transaction within the stipulated timeframe. Ekovest said previously that the multiple extensions were meant to give both parties more time to evaluate and deliberate the terms of the agreement.

When the deal was announced in 2023, Ekovest proposed to acquire a 70% stake in CRSB from Lim for about RM1.15 billion, to be satisfied via the issuance of new Ekovest shares at 60 sen each.

The group had said the acquisition would allow it to expand its property development business by gaining access to CRSB’s land bank including parcels held through Iskandar Waterfront Holdings Sdn Bhd and Iskandar Waterfront City Bhd spanning 4,212 acres in Johor.

According to AskEdge, Ekovest shows strong trailing twelve-month earnings before interest tax depreciation and amortisation margins of 47.5%, but 4.7% return on equity.

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