Infrastructure and utility company Kumpulan Perangsang Selangor Bhd (KPS) said that it aims to diversify its business segments in line with the company’s expansion plans following the divestment of its property segment.
Its chairman Raja Idris Raja Kamarudin said that the board of directors has mandated the management to look into new business areas like liquefied petroleum gas (LPG) and telecommunications.
“Apart from this, some of our expansion plans include strengthening our water industry by expanding our chemical trading segment.
“Other plans that we are considering include health care as well as the facilities management sector,” he told reporters after company’s AGM in Shah Alam yesterday.
Idris said that although the water industry has always been the major contributor to its revenue, the company is optimistic that their ventures into these new territories are likely to improve its financial performance.
Regarding its LPG venture, he said the company is looking to invest in existing companies that may seek funding and not to start explorations or projects related to LPG. He, however, declined to state any possible companies that KPS is in talks with.
According to Raja Idris, the LPG segment has contributed positively to its financial performance ended Dec 31, 2013, with a RM1.9 million share of profits.
“Moving forward we expect to see the numbers to rise for this segment however we don’t expect to see dividends at least until 2016,” he added.
The group stated in its annual report that it gained RM284.35 million through the disposal of its property development subsidiary Kumpulan Hartanah Selangor Bhd.
Meanwhile, the company’s annual report states that its investment in the telecommunications sector is via Ceres Telecom Sdn Bhd.