Sinotop Proposes Diversification Of Core Business & Capital Reduction Exercise

KUALA LUMPUR, Oct 21 (Bernama) -- Sinotop Holdings Bhd, a fabric manufacturer based in China, has announced a proposed corporate exercise and diversification of its core business involving capital reduction to about US$28.29 million (RM118.47 million). In a statement, it said the proposed diversification of the group's existing core business, included project management and infrastructure construction related businesses. "The proposed diversification will allow the group to reduce the reliance on existing businesses, which is in a very competitive and challenging landscape, while providing an additional stream of revenue and earnings," it added. Sinotop's corporate proposals are subjected to regulatory approvals. Group Managing Director of Sinotop, Pan Ding said the proposed exercise will assist the Group to have a more efficient capital structure. "The proposed diversification will provide the Group with stability and predictability in income stream," he added. --BERNAMA