Advance Synergy mulls selling 80% stake in payment card unit to AppAsia
KUALA LUMPUR (Dec 5): Advance Synergy Bhd (ASB) is considering selling an 80% stake in its indirect wholly-owned unit Synergy Cards Sdn Bhd to AppAsia Bhd.
Synergy Cards is involved in the provision of payment card and acquiring services.
In a filing with Bursa Malaysia today, ASB said the group has signed a Memorandum of Understanding with AppAsia for the purpose of recording their intention to enter into a share sale agreement.
In a separate filing, AppAsia said the MoU enables it to negotiate and finalise the terms of the proposed acquisition of Synergy Cards.
Both ASB and AppAsia expect to sign the share sale agreement by Feb 28, 2018 or a period mutually agreed by them.
AppAsia said the MoU is not expected to have any material effect on its share capital, earnings, net assets, gearing and substantial shareholders’ shareholding for the financial year ending Dec 31, 2017.
ASB is a diversified group whose major shareholder is businessman Datuk Ahmad Sebi Bakar.
AppAsia, meanwhile, is involved in the information and communications technology security business.
AppAsia shares closed flat at 35.5 sen for a market capitalisation of RM111.4 million. ASB shares also settled unchanged at 13.5 sen, valuing the group at RM91.5 million.