Easy Pack Machinery, a wholly-owned subsidiary of EPB Group Berhad (EPB), has acquired an industrial plot located in Penang for a total cash consideration of RM22.49 million.
Mr. Yeoh Chee Min, Managing Director of EPB, commented, "This land acquisition represents an important step in EPB's growth journey. It is fully aligned with our long-term strategy to expand our business footprint in Penang, increase production capacity, and deliver more innovative robotics solutions to our clients. The additional space will not only enable us to meet growing demand but will also allow us to showcase our large-scale cutting-edge machinery lines to prospective customers."
The land lot, acquired from Penang Development Corporation (PDC), is situated at Plot P23B, Penang Science Park North. Measuring approximately 7.84 acres, the land is adjacent to EPB's existing factory and corporate office in Penang. The acquisition will facilitate the construction of a new factory, corporate office, warehouse, and showroom, expected to complete by the second half of 2027.
EPB has allocated RM13.0 million from its IPO issue proceeds to fund the acquisition. On the other hand, RM10.5 million from its public issue proceeds has been earmarked for the construction of a new factory to cater to the production of food processing and packaging machinery.
The acquisition and the subsequent construction are expected to significantly enhance EPB's production capabilities, allowing the group to expand its product range and cater to increasing large-scale customer orders. The new facilities will further position EPB at the forefront of the industry, integrating robotics technology into its food processing and packaging machinery solutions, according to a statement by the group.
EPB remains focused on its expansion plans to capitalise on the anticipated growth in the Malaysian food processing machinery sector, which is projected to grow at a compound annual growth rate (CAGR) of 10.4% from 2024 to 2028 based on the Independent Market Research Report in the prospectus of EPB dated 27 June 2024.
