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DKSH to fully acquire and delist Malaysian Subsidiary DHMB
DKSH has announced its intention to acquire the remaining minority shares of DKSH Holdings (Malaysia) Berhad (DHMB) to take the subsidiary private. The move aligns with its strategy to simplify corporate structures and strengthen its presence in Malaysia.
Swiss-based distribution and market expansion services provider DKSH has submitted an offer to acquire the remaining 25.7 % of shares held by minority shareholders in its Malaysian subsidiary, DKSH Holdings (Malaysia) Berhad (DHMB). The proposed transaction would increase DKSH’s ownership in DHMB from 74.3 % to 100 %, enabling the company to take the subsidiary private and delist it from Bursa Malaysia, where it has been listed since 1994.
The offer, made through DKSH’s wholly owned subsidiary DKSH Resources (Malaysia, includes a selective capital reduction mechanism. Minority shareholders would receive approx. EUR 1.22 per ordinary share, representing a premium compared to DHMB’s closing share price as of 8 December 2025. DKSH emphasised that this move is part of its broader strategy to streamline corporate structures while maintaining its long-term commitment to operations in Malaysia.
Strategic Restructuring in the Paint and Coatings Supply Chain
The distribution company stated that the proposed transaction is not expected to impact the subsidiary’s current operations or its role in the paint and coatings supply chain. The delisting is primarily aimed at improving operational efficiency and simplifying governance structures. DHMB has been a key player in the Malaysian market, supporting various industries, including the distribution of raw materials and specialty chemicals for the coatings sector.
The completion of the deal is subject to multiple conditions, including approval by DHMB’s board of directors, acceptance of the offer by minority shareholders, and a High Court order to implement the selective capital reduction. DKSH anticipates that the transaction will be finalised in the second or third quarter of 2026.
Implications for the Coatings Industry
This move reflects ongoing trends in corporate consolidation and restructuring within the global coatings industry. By enhancing its control of DHMB, DKSH aims to strengthen its operational base in Malaysia – a key market for raw material distribution. Industry stakeholders will be watching closely as the transaction progresses, particularly for its potential impacts on supply chain dynamics and market accessibility.
