Translate This Page

Monday, June 30, 2014

DNeX (Formerly known asTime Engineering) diversifying into the oil and gas space

Nine months after being acquired by Censof Holdings Bhd , the picture is beginning to emerge on what’s in store for Time Engineering Bhd, which has since been renamed Dagang NeXchange Bhd (DNeX) .

Last week DNeX made a couple of major announcements that gave a taste of its future plans. The most significant was that the company named its new head honcho – seasoned oil and gas professional Zainal Abidin Abdul Jalil . Zainal is the former CEO of Malakoff Corp Bhd and had served for 28 years at oil giant ExxonMobil. DNeX also said it was diversifying into the oil and gas space with the proposed acquisition of OGPC Sdn Bhd and OGPC O&G Sdn Bhd for RM203m.

Zainal explains that the acquisition will serve as a platform for DNeX to jumpstart its venture into the robust oil and g as industry. DNeX’s existing business is the provision of e - commerce services for trade facilitation and internationally certified enterprise security services via a government concession.

“The concession business has two years to go before expiry. It ( venturing into oil and gas) is our intention – to mitigate potential loss of business. We have two years to scale up our oil and gas business,” he said. OGPC has strong cash flows, no gearing and is cash rich. DNeX expects to complete the OGPC acquisition in the first quarter of 2015. (Star Biz)

No comments: