SINGAPORE: Teckwah Industrial Corporation Ltd has entered into a Share Sale and Purchase Agreement to acquire 70 percent shares in the issued and paid-up share capital of Profoto Digital Services Pte. Ltd.
The aggregate consideration payable by the company to the vendors for the purchase of the shares is S$13 million and will be funded by the company’s internal resources and/or bank borrowings.
Profoto Digital Services (PDS) is in the business of providing digital graphic prints, event set-ups, window display and project management services. PDS’ customers are mainly in the fashion and beauty industry, as well as in shopping malls. The issued and paid-up share capital of PDS is S$700,000.
Teckwah Industrial Corporation believes that the proposed acquisition presents an opportunity for the Group to extend its supply chain capability and add value to its customers. It will enable the Group and PDS to tap on the synergies and to expand the business overseas by leveraging on the Teckwah’s established network of contacts in the Asia Pacific region.
The Company will acquire 490,000 Shares, representing 70% of the issued and paid-up share capital of PDS, consisting of 350,000 Shares from Mr Pranata (representing 50% of the issued and paid-up share capital of PDS) and 140,000 Shares from Mr Lock (representing 20% of the issued and paid-up share capital of PDS).[the_ad id=”31605″]