The Putrajaya Committee for GLC High Performance, in its progress review last month, stated that CCM "needs to enhance its position in Malaysia and Asean, and accelerate expansion of its businesses to achieve a turnover of 2 billion ringgit [Bt20.2 billion] next year".

CCM's results announcement for the third quarter ended September 30 shows that the company posted a nine-month revenue of 798.9 million ringgit and net profit of 105.3 million ringgit.

While CCM group managing director Dr Mohd Hashim Tajuddin would not comment on financial targets, he revealed that the company was well on its way to expanding its presence in the Asean region.

It is opening an office in Bangkok this month. "The office is ready [for occupation] and will be fully operational from January 2007," he said. "We already have offices in Singapore, Indonesia and Vietnam."

However, each new office may not cover all the group's business areas.

"In Thailand, we will cover all the three businesses of fertiliser, chemicals and pharmaceuticals. In Singapore it is chemicals and pharmaceuticals, and in Indonesia all three.

"In Vietnam, the office is for chemicals and pharmaceuticals but not fertiliser for the time being," he added.

Capacity expansion is in the works for the company's fertiliser business.

The company broke ground in mid-June for a new plant in Bintulu, Sarawak, with 130,000 tonnes of annual capacity. It will be fully operational in 2008 and increase total group capacity by 50 per cent, Mohd Hashim said.

Further down the line, CCM also plans to build fertiliser plants of similar capacity in Medan, Indonesia, and another in Lahad Datu, Sabah, where construction work will begin at the end of this year, he said.

Each fertiliser plant is expected to cost about 50 million ringgit.

CCM also plans to expand its industrial chemicals business.

"We have managed to get more business in Thailand, Vietnam and Singapore," he said.

The company is also an agent for several multinational principals from Europe, the United States, Japan and China.

"Overall, we have achieved about 30-per-cent revenue contribution from the region outside of Malaysia," Mohd Hashim said.

The company also intends to expand its water-care business overseas, he said, without giving details.

CCM already supplies chemicals and engineering services for treatment of potable water for a majority of the state water authorities in the country.

The company is also involved in the treatment of industrial waste water.

In the pharmaceutical sector, the company is seeking expansion of its over-the-counter (OTC) range, particularly health supplements.

Its pharmaceutical division, CCM Duopharma Biotech, launched three OTC herbal products in September and one last month.

On further strategic acquisitions, Mohd Hashim said that there were "a few in the pipeline", which the company will only announce later.

"We are always looking for possible opportunities," he added.

The Star

Asia News Network

KUALA LUMPUR