Singapore-based investment holding company, Annica Holdings Limited, has revealed its plans to buy 25.79% shares of Green Pluslink Limited (GPL).

On March 26, it was announced that the acquisition is now possible, as the firm has already signed a non-binding memorandum of understanding (MOU).

GPL is a current owner of a waste tire pyrolysis unit in the Western part of Malaysia, Tanjong Malik – the plant that had been recently sold by Horizon Greentech Resources.

According to the final deal that Annica has signed with the seller, the firm will have to provide around $4.2 million to cover GPL shares.

Annica has also announced that its another agreement signed in 2016 and pursuing acquisition of 49% of ownership in Horizon Greentech Resources, has reached its culmination.

In 2016, Annica had made an announcement that it wanted to become involved in a new tire recycling business, that’s why it decided to partly own Horizon Greentech and buy several regulatory licenses that were connected to the company.

Some sources claimed that, initially, the closure date for the agreement culmination had been agreed to be December 2017, however it was later changed to March 2018.

Annica’s leading representatives said that the company has just been executing its business strategy that sought expansion of the firm’s business practices; introduction of recycling, eco-friendly and sustainable technologies has been part of this strategy.

It was also announced that the firm will relocate its three waste tire pyrolysis production facilities; this step to improve work organization is expected to augment production.

Several analysts suggested that Annica has decided to expand, as it wants to start advancing a safe and protected environment via investments in the energy sector dealing with renewables. According to experts’ speculations, severe emission regulations might have contributed to the firm’s decision to buy a substantial share in GPL.

Article by Algosonline