KUALA LUMPUR (Sept 3): Mestron Holdings Bhd has signed a share sale agreement with Maxcom Engineering Sdn Bhd to acquire 100% of Liziz Biogas Sdn Bhd for RM3 million.

Liziz is involved in the generation of biogas electric energy.

Mestron said in a statement this was its “second effort into the green technology business to enhance recurring income for the group, where the earlier one was a venture into solar power for the telecommunication industry.”

The proposed acquisition would be funded internally via proceeds raised from a recent private placement exercise of its wholly-owned subsidiary Mestron Energy Sdn Bhd, it added.

The group's executive director Gary Loon said Liziz would generate a stable recurring income of RM6.3 million annually for the group in the next 21 years.

In 2019, Liziz obtained a “feed-in-approval” from the Sustainable Energy Development Authority (SEDA) for producing electricity from renewable sources.

Liziz also entered into a renewable energy power purchase agreement (REPPA) with Tenaga Nasional Bhd in 2019.