Merge Energy acquires Innovasi Hebat for RM300,000

KUALA LUMPUR: Merge Energy Bhd acquired Innovasi Hebat Sdn Bhd (IHSB) for RM300,000 to expand its business into supplying valve, valve maintenance and contractor services.

In a filing to Bursa Malaysia on Nov 11, its wholly-owned subsidiary Mewah Kota Sdn Bhd had entered into a sale and purchase of business agreement with IHSB’s shareholders, managing director Haji Abd Wahab Ibrahim and executive director Mohd Azrul Fitri Abu Bakar, to purchase 500,000 shares of RM1 each representing the entire equity interest in IHSB.

The acquisition will be fully satisfied by cash. Merge Energy expects the acquisition to generate a steady recurring income and positive return.

IHSB started operations in 2001 as a trading company, before diversifying its core business from just supplying valve into valve maintenance and contractor services. Its operation unit is involved in the procurement, load-out, installation, operation and maintenance support of the waterworks industry.  Its engineering services business unit is involved in valve maintenance and services and research and development.   

IHSB is accredited with licences from Kementerian Kewangan Malaysia, the Construction Industry Development Board Grade G6 and Pusat Khidmat Kontraktor Class C.

Among the projects completed by IHSB include the replacement of old pipes in Telok Gong, Klang, and pipe interconnection works at the Sungei Semenyih Water Treatment Plant 10MG Balancing Reservoir.