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ios developer account:MMAG sells 15% stake in Line Clear to KTG

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,KUALA LUMPUR: MMAG Holdings Bhd is selling a 15% stake in Line Clear Express & Logistics Sdn Bhd (LCEL) to KTG Bhd for RM22mil, as part of a strategic partnership for the two companies to grow their delivery business. Proceeds from the disposal will be utilised to expand the group's logistics business. "The 15% investment in LCEL by KTG would form a strategic partnership between MMAG Group and KTG Group," it said in a filing with Bursa Malaysia today. On March 18, MMAG's wholly owned unit Line Clear Ventures Holdings Sdn Bhd (LCVH) has entered into a deal to dispose its entire shares in Line haul Sdn Bhd (LHSB) to KTG for RM3mil. LHSB is currently engaged in the business of middle mile logistics services providing haulage and hub-to-hub deliveries services. LHSB already has a strategic collaboration with LCEL to provide haulage and hub-to-hub deliveries services to LCEL. "Through leveraging on KTG’s expansion plan via LHSB’s fleet of new motor vehicles and freight sharing network platform, LCEL is able to reduce its capital investments and costs of operations which will enhanced levels of service that are required in “last-mile” delivery," MMAG said. KTG was formerly known as DWL Resources Bhd.
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