Malaysian construction engineering company Ekovest BHD has proposed to buy a 23.42 percent stake in forest and oil palm plantations manager and operator PLS Plantations BHD.

Ekovest is acquiring the stake in PLS that is held by Serumpun Abadi Sdn BHD for 76.50 million Malaysian ringgit ($18.7 million).

Ekovest said that the deal will allow it to venture into the management and operation of forest plantation and oil palm plantation.

The company added that the stake purchased is consistent with its long term strategy of extending and diversifying into other businesses in order to decrease reliance on its existing businesses in construction, property development and toll operations.