KUALA LUMPUR (July 10): EP Manufacturing Bhd has received the Ministry of Investment, Trade and Industry (Miti)'s approval to manufacture and assemble energy efficient vehicles (EEV), electric passenger vehicles and electric commercial vehicles in Malaysia.

The automotive group said the conditional approval will allow its wholly owned subsidiary Peps-JV (Melaka) Sdn Bhd (PJVM) to establish a manufacturing plant to produce these vehicles and other related products.

“This expansion will open up new business opportunities for revenue and business growth, while aligning the business with sustainability initiatives,” EP Manufacturing said in a filing with Bursa Malaysia.

The approval conditions are subject to be fulfilled by PJVM within six months.

On March 8, PJVM signed an agreement with CIS Pride Silver Rock Fund and Sharkgulf Technologies Group Ltd to explore the EV business.

CIS, incorporated in the Cayman Islands, is an investment fund managed by Silver Rock Capital Ltd, Realchamp Asset Management Ltd and The Pride Group Ltd. It is the main funder for the new venture.

Sharkgulf is a China-based company that manufactures the Blueshark brand of two-wheeled EVs.

EP Manufacturing also said that it will establish a manufacturing facility, and a sales and distribution centre in Malaysia for the Blueshark brand of two-wheeled EVs.

The group will also set up a research and development centre that will provide technical expertise and resources to Sharkgulf.

EP Manufacturing shares closed half sen or 0.70% lower at 71 sen on Monday (July 10), valuing the group at RM155.31 million.