Scientex acquires 70% of Mintpack in China to expand packaging operations

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Scientex acquires Mintpack in China

Highlights

Scientex Packaging (Ayer Keroh) Bhd signed an agreement to acquire 70% of Hunan Changcheng Mint New Material Technology Co Ltd from Mintpack's founder and Hunan Changcheng Tianyi Information Technology Co Ltd.
The acquisition will be financed through internal funds and bank borrowings, with completion expected by the end of 2024, adding production capacity and a customer base in China.
The packaging segment contributed RM725.3 million, or 15%, to Scientex's FY2026 revenue of RM4.81 billion, while its shares rose one sen to RM3.66, bringing its market capitalisation to RM5.7 billion.

This article was translated from the original. Read the original version by our correspondent here.

Acquisition details and financing plans

As reported by The Edge Malaysia, Scientex's wholly owned unit, Scientex Packaging (Ayer Keroh) Bhd, has entered into an equity interest sale and purchase agreement with Mintpack founder Tan Cui Fang and Hunan Changcheng Tianyi Information Technology Co Ltd to acquire a 70% stake in Hunan Changcheng Mint New Material Technology Co Ltd.

Upon completion of the transaction, Mintpack will become an indirect subsidiary of Scientex with a 70% stake, while Tan will retain a 30% interest through Tianyi. The group plans to finance the acquisition through internal funds and bank borrowings, with completion expected by the end of this year.

Impact on Scientex's packaging business

According to Scientex, Mintpack specialises in flexible plastic bags and roll films. The acquisition is expected to boost the group's production capacity while providing an established manufacturing platform and customer base in China to complement its existing consumer packaging business.

Scientex also expects the transaction to expand its multinational customer base and the group's product portfolio. The packaging segment contributed RM725.3 million, or about 15%, to Scientex's FY2026 revenue of RM4.81 billion, while the company's shares rose one sen, or 0.3%, to RM3.66 on Tuesday, giving it a market capitalisation of RM5.7 billion.

In our earlier article on the higher interest rate environment, we explained how rising global bond yields and increasing refinancing costs could reshape corporate financing strategies in Malaysia. We also highlighted that some corporate borrowers may temporarily shift from bond issuance to bank loans, with greater risks for highly leveraged companies or those with unhedged floating-rate debt.

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