KUALA LUMPUR: Inix Technologies Holdings Bhd (Inix) will acquire 51 per cent stake in L&S Gloves Sdn Bhd (L&S Glove) as part of the former's effort to penetrate into the lucrative rubber glove industry.
Chairman Tan Sri Mohamad Fuzi Harun said the two parties have singed a formal memorandum of agreement (MoA) today prior to the board's visit at the current site of L&S Gloves' factory in Beranang.
Vice chairman Datuk Tan Choon Hwa said the company has actively sought to develop new businesses and create company value in the past few months, including its entry into the rubber glove industry.
"We have finally paid 45 per cent deposit to acquire L&S Gloves," he said in a statement today.
Inix said L&S Gloves has two production lines in its factory in Beranang which is in production.
L&S Gloves director Teo Yoek Leong said the company is happy to have finally found a vehicle to expand its rubber glove business into the international market and assist in fighting the Covid-19 pandemic.
L&S Gloves director Teo Xiong Sheng said the company will ensure the two production lines can be put into production immediately.
"We plan to expand own production up to 14 line in the next one year plus. Total Inix's investment into this project is estimated to be no less than RM50 million," he added.
Inix executive director Siva Kumar Kalugasalam said the company believes the acquisition will make a positive contribution to the group's future profitability and is the best choice for Inix to enter the glove production field.
Earlier this month, Inix had announced a major board change with the appointment of former National Police Chief, Mohamad Fuzi as the chairman of the group to fill the vacancy left by the resignation of Macau billionaire, Wan Kuok Koi.
Inix is an investment holding company and primarily engaged in hardware and software supply, including software development and system integration.
Inix is also mainly focuses on e-commerce portals, new software integration solutions and mobile application functions, and also strengthens some software development