DNeX emerges as most active stock on acquisition plan

KUALA LUMPUR (Jan 25): Dagang NeXchange Bhd (DNeX) emerged as the most active traded stock on Bursa Malaysia in the early session today after announcing its latest acquisition plan last week.

As at 9.45am, the counter had risen 15 sen to 27.5 sen, with 78.7 million shares changing hands.

Last Friday, DNeX announced that it had entered into a conditional share sale and purchase agreement (SSPA) with the other shareholders of Ping Petroleum Ltd to acquire 60% of the issued share capital in Ping not owned by DNeX for US$78 million (RM314.3 million).

DNeX currently owns 30% of Bermuda-incorporated oil and gas (O&G) outfit Ping through DNeX Energy.

“Ping is a solid investment, having been consistently profitable, generating a positive operating cash flow, and is debt-free, with a strong balance sheet.

“This transaction also supports DNeX’s strategy to further establish its presence in the upstream O&G business, which can be progressively scaled up over time,” group managing director Datuk Seri Syed Zainal Abidin Syed Mohamed Tahir said in a statement last Friday.

Source: TheEdgeMarkets