KUALA LUMPUR, March 16 (Bernama) -- Maybank IB Research has maintained a "buy" call on global brand company, KNM Group Bhd.
In a note Monday, the research house said KNM Group has entered into a sale and purchase agreement with three vendors, FE Global/Asia Clean Energy Services Fund, FEGACE Asia Sub-Fund and Global Clean Energy Corp.
The agreement is to acquire their 100 per cent interest in ABL Bio-Fuels Ltd and Asia Biofuels II Ltd (ABL Group) for US$24 million (US$1=RM3.71).
"Operationally, it affords KNM a foothold into the promising renewable energy space and the prospect of constructing a business with a recurring income base, atypical of the current structure, which is orders-driven," it added.
At lunch break, KNM Group's share price fell 5.5 sen to 72.5 sen with 17.62 million changing hands.