KUALA LUMPUR: Pos Malaysia Bhd is currently in talks to
acquire a courier company in the Middle East to diversify its business portfolio, in line with its five-year transformation plan.

Group chief executive officer, Datuk Khalid Abdol Rahman, said the company aimed to conclude the talks most probably by year-end.

"We are also looking at acquisition for the logistics business as well," he told reporters after the company's 20th annual general meeting here today.

Khalid said the company, which has allocated a capital expenditure (capex) of RM100 million to RM150 million for the current financial year, could increase it in case of merger and acquisition (MandA) exercise.

He said the capex would be used only for the organic growth of the company, among them, expansion and refurbishments of existing outlets.

Khalid said Pos Malaysia was currently working with DRB-HICOM Bhd's property development group to redevelop its land.

"We have land in Brickfields, Kelana Jaya and Batu Pahat. The plan is to commercially redevelop them with post office being a small part of it," he said.

He said Pos Malaysia was currently looking to diversify its revenue base via many initiatives.

"In mail business, we are looking at direct mail business and corporate mail management.

"In our courier business, we are looking at complementing the business of DRB-HICOM while for our retail business, we aspire to be a one-stop solution.

"The fourth one will be the digitalisation of the services," he said.

Meanwhile, its chairman, Datuk Seri Khamil Jamil, said the growth of Pos Malaysia would be both organic- and inorganic-oriented.

He said the company aimed to double its revenue and profit by the next five years.

"For that, we have to take many initiatives to put things in order and manage it successfully.

"On MandA, we carefully craft our strategy and have to make sure the decision that we take will be viable," he said. -- BERNAMA