KUALA LUMPUR, July 11 — Malakoff Corporation Bhd’s (Malakoff) indirect wholly-owned subsidiary, Malakoff Gulf Ltd (MGL) has entered into a share sale agreement with Khazanah Nasional Bhd to acquire the latter’s entire equity interest in Desaru Investments (Cayman Isl.) Ltd (DIL) for US$70 million (RM288 million).

In a filing with Bursa Malaysia today, Malakoff said the proposed acquisition would provide immediate earnings accretive to the group and increase its cash flow.

"It will also increase and consolidate Malakoff’s total effective generation capacity for power and water to 6,708 megawatts (MW) and 544,375 m3 per day respectively, from the existing 6,600 MW and 420,925 m3 per day, in line with the group’s growth strategy.

"Barring any unforeseen circumstances, the proposed acquisition is expected to be completed by the fourth quarter of 2019 and will contribute positively to the group’s future earnings and earning per shares upon its completion,” it said in a separate statement today. — Bernama