02-05-2025
- Business
- New Straits Times
Eco World International jumps 21pct after move to scrap tie-up with EcoWorld Malaysia
KUALA LUMPUR: Shares of Eco World International Bhd surged as much as 20.9 per cent in early trade today after the company announced it was ending a long-standing collaboration with Eco World Development Group Bhd (EcoWorld Malaysia).
At 10.30am, the stock jumped 4.5 sen to 26 sen with nearly 10 million shares traded. This brought its market capitalisation to RM516 million.
While the counter is down 3.7 per cent year-to-date, it has rallied 30 per cent over the past week.
EcoWorld Malaysia also edged up, gaining one sen or 0.53 per cent to RM1.89.
On Wednesday, Eco World International proposed to terminate a 2016 agreement with EcoWorld Malaysia that restricted both companies from operating in each other's markets.
Under the agreement, Eco World International was barred from undertaking property development in Malaysia, while EcoWorld Malaysia was limited to domestic projects unless carried out through the former.
The decision follows mounting challenges in Eco World International's key overseas markets, namely the United Kingdom and Australia.
The move would also see Eco World International change its name to EWI Capital Bhd.
