Tex Cycle Announces Strategic Acquisition of Meridian World to Expand Scheduled Waste Management Solutions

Enhancing Capabilities in Chemical Processing and Wastewater Treatment with Profit Guarantee of RM12.0 million

KUALA LUMPUR, 13 JUNE 2024 – Tex Cycle Technology (M) Berhad (“Tex Cycle” or the “Group”), an established waste management and recycling solutions provider, is pleased to announce its strategic acquisition of the entire equity interest in Meridian World Sdn. Bhd. ("Meridian World"). This acquisition, valued at RM 55 million, includes a robust profit guarantee of RM12.0 million for the financial year 2024 (“FY2024”) and financial year 2025 (“FY2025”), reinforcing the Group's commitment to growth and financial sustainability.

Established in 1995, Meridian World stands as a renowned player in environmental engineering solutions and consultation services, specialising in wastewater and air pollution control, as well as comprehensive waste management. Known for their chemical processing expertise, Meridian World operates a fully licensed scheduled waste recovery facility that handles everything from waste collection and transportation to the recovery of scrap metal contaminated with oil or solvents.

The acquisition of Meridian World by Tex Cycle enhances the Group’s capabilities significantly, especially in chemical processing and wastewater management. Meridian's robust service portfolio, including their scheduled waste recovery facility and advanced environmental engineering technology, complements Tex Cycle's existing waste management services. This merger enables Tex Cycle to offer a more comprehensive suite of services, covering more extensive aspects of waste and environmental management.

Mr. Gary Dass A/L Anthony Francis, Group Chief Executive Officer of Tex Cycle stated, "We are thrilled to announce the strategic acquisition of Meridian World, a move that significantly amplifies our service capabilities across the environmental management spectrum. Meridian World brings to Tex Cycle a profound expertise in chemical processing and scheduled waste management, perfectly complementing our core services and aligning with our sustainability objectives. This acquisition not only expands our operational reach but also strengthens our commitment to delivering industry-leading, environmentally responsible solutions. We are excited about the synergies this partnership creates and are confident it will drive substantial value for our stakeholders and contribute positively to Malaysia’s environmental goals."

By incorporating Meridian’s innovative waste management solutions, Tex Cycle can now cater to a broader range of industrial needs. This strategic enhancement not only broadens Tex Cycle's operational capabilities but also strengthens its market position, paving the way for increased innovation, operational excellence, and growth in the environmental management industry.