KUCHING, 15 JANUARY 2026 – Sarawak Consolidated Industries Berhad (”SCIB” or the “Company”) announced that shareholders have approved all resolutions tabled at the Company’s Extraordinary General Meeting (“EGM”) held earlier today, reflecting continued shareholder support for the Group’s efforts to strengthen its financial position and support its operational plans.
At the EGM, shareholders approved the Company’s proposed renounceable rights issue of up to 763,624,813 new ordinary shares together with an equal number of free detachable warrants, to be issued on the basis of one rights share and one warrant for every existing SCIB share held on an entitlement date to be determined. Shareholders also gave their approval for the proposed reduction of the Company’s issued share capital by RM110.00 million pursuant to Section 117 of the Companies Act 2016.
Datuk Chong Loong Men, Executive Chairman of SCIB, said the outcome of the EGM provides the Company with greater clarity and flexibility to move forward with its financial and operational initiatives. “We appreciate the confidence and mandate given by our shareholders. These approvals place SCIB in a better position to strengthen its balance sheet and support the Group’s planned activities in a disciplined and orderly manner,” he said.
The proposed rights issue with free warrants is intended to raise a minimum of RM10.00 million to meet the Company’s funding requirements. The circular to shareholders highlighted that the proceeds are expected to be utilised primarily for the construction of a factory and the purchase of machineries, alongside partial repayment of bank borrowings, working capital needs and expenses related to the proposals. Datuk Chong Loong Men has also provided an undertaking to subscribe to the rights issue, including through excess applications if required, to ensure the minimum proceeds are met.
Looking ahead, the successful approvals provide a clearer platform for the Company to advance its operational priorities and funding plans. As the Company progresses with the implementation of the proposals and executes its ongoing initiatives, SCIB remains focused on strengthening its fundamentals, enhancing execution capabilities and positioning the Group for more sustainable growth over the medium to long term.
