Malaysia's Transmile says lines up new partner

KUALA LUMPUR, June 23 (Reuters) Malaysian air-cargo firm Transmile Group Bhd said on Friday it would sign a contract with an unnamed strategic business partner and halted trade in its shares pending an announcement on Monday.

The move follows talk that DHL, express delivery service and logistics unit of Germany's Deutsche Post , wanted to tie up with the Malaysian firm after Transmile was reported to have lost a contract with one of its major customers and owners.

Pos Malaysia Bhd , which owns 17.29 percent of Transmile, was reported by local media this month to have declined to renew its courier-handling contract with Transmile and to be interested in selling out of the company.

''The request for suspension is pending the signing of a contract between Transmile Air Services Sdn Bhd with a strategic business partner which is in the ordinary course of business,'' Transmile said in a statement to the stock exchange.

Tansmile Air Services is wholly owned by Transmile.

A Transmile spokeswoman declined to name the new business partner and said the details would be announced at a news conference on Monday afternoon.

A DHL spokesman in Singapore was not immedately available for comment.

Transmile shares were suspended at 4.05 p.m. (0805 GMT) on Friday until the whole of Monday, resuming trade on Tuesday.

Transmile shares were last traded at 12.70 ringgit (