LERENO Bio-Chem Limited on Monday said that it has terminated the letter of intent to acquire 100 per cent of shares in Majubina Projects Sdn Bhd.
In a filing to the local bourse, the group said that it had entered into a non-binding letter of intent with Law Phooi Wong to acquire all the shares in Majubina Projects.
It said that the exclusivity period of the letter of intent had expired on June 20, and the company terminated it on June 23.
The group added that on June 23, it entered into a conditional sale and purchase agreement to buy 100 per cent of the issued and paid-up share capital of Kenyalang Property (S) Pte Ltd from Kenyalang Property Development Sdn Bhd for RM70 million (S$23.3 million). The proposed acquisition constitutes a reverse takeover (RTO) transaction.
The proposed acquisition is in line with the group's corporate strategy to seek a better business opportunity and lift the group's "cash company" status, it said.