MAHSING (8583) MAH SING GROUP BHD shareholders give nod to rubber glove venture
KUALA LUMPUR (Dec 21): Mah Sing Group Bhd’s shareholders have given the property developer the greenlight to diversify into rubber glove manufacturing through its subsidiary Mah Sing Healthcare Sdn Bhd.
In a virtual extraordinary general meeting (EGM) today, Mah Sing obtained 99.9962% of votes for the diversification plan to mitigate cyclical earnings from its property development division.
Mah Sing said in the statement the first six production lines of the glove manufacturing factory in Kapar, Klang are on track to be operational as planned in the second quarter of 2021 (2Q21), followed by another six lines, expected to be ready in 3Q21. The company expects a total annual capacity of up to 3.68 billion pieces.
A structural increase in glove usage as a result of new norms, fears of reinfection, higher health awareness and hygiene compliance requirements for healthcare and non-healthcare sectors will continue to see strong demand for gloves even after the Covid-19 pandemic ends as vaccines become available, said Mah Sing.