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,KUALA LUMPUR: Rhone Ma Holdings Bhd's 49%-owned subsidiary A2 Fresh Sdn Bhd has entered into a joint venture-cum-shareholders agreement with Kulim (Malaysia) Bhd to develop, operate and manage a potential dairy project.It said in filing with Bursa Malaysia that Kulim shall hold 65% equity interest in the joint venture while A3 Fresh will own the remaining 35%.The parties estimate that the initial investment requirement for the dairy project will be up to RM41.39mil, excluding the milk processing plant, which will be funded through equity in the form of subscription of shares by the shareholders."The dairy project is developed to increase the nation’s milk production to reduce dependence on imported milk and it aims to produce up to 11 million litres of fresh milk a year."The joint venture will allow RMH to expand the footprint of its dairy farming business in the southern region of Peninsular Malaysia whilst leveraging on the financial resources of Kulim," said Rhone Ma.The joint venture is expected to contribute positively to the consolidated earnings and net assets per share of the group for the financial year ending Dec 31, 2021.


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