Top Glove says in talks on acquisition

KUALA LUMPUR Jan 13 (Reuters) - Malaysia's Top Glove Corp (TPGC.KL), the world's largest producer of rubber gloves, said on Tuesday it is in talks with several companies for potential acquisition, but did not name any.

"(An) Acquisition is always open. We are still talking with other manufacturers," Lim Wee-Chai, the company's chairman, told a media and analysts' briefing.

He did not give any details, but said the company was in talks with companies both in Malaysia and abroad, including Indonesia and Thailand.

"We are very strong financially. We would like to expand in a healthy way," said Lim.

But he said they were in no rush to buy.

"We are in a position, but we are in no hurry... It has to be a win-win situation," said Lim.

Top Glove, which has major clients in the United States and Euorpe, said its profitability was largely unaffected by the global economic crisis as its products were a necessity, especially in the healthcare sector.

The company reported first-quarter net profit of 34.5 million ringgit ($9.66 million), a 16 percent growth from a year ago.

Revenue for the quarter ended Nov. 30, 2008 rose to a record 386.1 million ringgit, up 15 percent from the corresponding period last year.

The company's net gearing at the end of the quarter stood at 0.053 times.

Its stock was trading at 4.26 ringgit at 0422 GMT.

($1=3.570 Malaysian Ringgit) (Reporting by Faisal Aziz)