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    Is it possible for them to increase productivity by privatisation? Hicom will hold the share of EON Edaran Automobil Nasional Bhd. The privatisation is scheduled to happen in the 3rd week of August 2010. So hopefully they will really improve a lot especially in terms of customer service. Read further news from Bernama below.

    EON TO INCREASE PRODUCTIVITY BY PRIVATISATION UNDER HICOM

    EON TO INCREASE PRODUCTIVITY BY PRIVATISATION UNDER HICOM
    KUALA LUMPUR: Edaran Otomobil Nasional Bhd (EON) expects to complete its privatisation exercise by the third week of August, its Chairman Tan Sri Marzuki Mohd Noor said on Monday.

    He said the company had today received its shareholders’ approval to proceed with the exercise.

    “The extraordinary general meeting today, ended well. More than 90 per cent of the shareholders present, voted in favour of the resolution,” he told reporters after the meeting here on Monday.

    On Jan 27 this year, DRB-Hicom Bhd announced its wholly-owned subsidiary Hicom Holdings Bhd, had requested for EON to be taken private via a selective capital reduction and repayment exercise (SCR).

    The proposed SCR is being undertaken as Hicom already held 79.06 per cent of the issued and paid-up share capital of EON as at Jan 26, 2010.

    The proposed exercise would result in the reduction of EON’s issued and paid-up share capital from RM248.993 million to RM168.164 million, comprising 168,164,209 shares, by way of cancelling a total of 80,828,614 shares.

    Upon completion of the exercise, Hicom would hold 168,164,209 EON shares, representing the entire issued and paid-up share capital.

    On EON’s business plan going foward, Marzuki said the company will continue to increase productivity and sales at its 32 branches. – Bernama

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