PETALING JAYA: Bonia Corp Bhd’s wholly owned subsidiary CRG Incorporated Bhd, which is the design, marketing and distribution company for Carlo Rino and CR2 brands, is expected to be listed on the LEAP Market of Bursa Malaysia Securities by end of November.
Outlining its plans in the information memorandum released today, CRG said it aims to increase its geographical footprint in Southeast Asia and the Middle East. This includes developing a strong online presence for its Carlo Rino brand in Southeast Asia over the next five years, to tap into the e-commerce market in the region which is expected to grow to US$29.4 billion (RM122.2 billion) in sales by 2020.
It has also granted Kafak the exclusive rights to use the Carlo Rino brand, as well as operate and manage boutiques carrying the Carlo Rino range in the Middle East for five years, with a five-year renewable period.
“Through this distributorship arrangement, we intend to expand our retail presence to other countries in the Middle East, including the UAE, Qatar and Bahrain,” it said.
In terms of expanding its product range, CRG said it is in the midst of undertaking research on the market for accessories and fashion-related collections, with the aim of launching various accessory product ranges over the next five years.
Its products are generally targeted at young working adults between 18 and 35 years old.
CRG’s principal markets are Malaysia, Indonesia and Vietnam. In Malaysia, it has 39 boutiques and outlets, and 120 department store counters. It also has authorised distributors/dealers in Vietnam, Indonesia, Saudi Arabia and Brunei.
According to an information memorandum by the approved adviser and continuing adviser, TA Securities Holdings Bhd, the distribution of CRG shares to entitled shareholders and cash payout, to entitled shareholders who hold less than 100 Bonia shares, is expected to take place in mid-November.
The demerger of CRG involves a series of transactions namely capitalisation, subdivision, conversion and dividend-in-specie. The capitalisation, subdivision and conversion have been completed as of Aug 13.
Bonia will distribute via a dividend-in-specie, its entire shareholding in CRG and rights to CRG shares, to the entitled shareholders on the basis of one CRG share for every one Bonia share, upon receipt of approval-in-principle from Bursa Malaysia Securities for the listing.
The completion of the dividend-in-specie will result in the demerger of CRG from Bonia, and the entitled shareholders will directly hold shares in the same proportion as their shareholdings in Bonia, except for those who hold less than one board lot of Bonia shares, who will be paid cash in lieu of the number of shares they are entitled to.
Source: The Sun Daily