KUALA LUMPUR: Shareholders of SMRT Holdings Bhd have approved the proposed acquisition of the remaining 36 per cent stake in N'osairis Technology Solutions Sdn Bhd (NTS) from Permata Kirana Sdn Bhd for RM72 million.
They also approved the proposed disposal of 100 per cent stake in SMR Education Sdn Bhd to Special Flagship Holdings Sdn Bhd for RM49.5 million and a share grant plan of up to 20 per cent of the total number of issued shares for its directors and employees.
SMRT group managing director Maha Palan said the shareholders shared the vision for the future of the group, which is essentially transforming into a pure play Internet of Things (IoT) solutions provider.
"The acquisition of the remaining stake in NTS provides us greater flexibility in strategic planning and implementation. More importantly, it enables SMRT to fully capitalise on the robust growth and prospects of NTS.
"In turn, this would greatly enhance our earnings potential moving forward and boost the value for our shareholders," he said in a statement today.
Palan said since the acquisition of its initial stake in NTS in 2016, SMRT had been meticulously cultivating the seeds of growth and saw the results as NTS had been growing at an exciting pace.
This development is particularly opportune given that NTS is prime for further growth.
Palan said SMRT would continue to work tirelessly to keep up the healthy momentum while seizing the vast opportunities ahead of us both in Malaysia and overseas.
For the year ended Dec 31, 2021, NTS' revenue jumped 27.4 per cent year-on-year (YoY) to RM51.1 million from RM40.1 million a year ago.
Profit attributable to owners of the company surged 43.5 per cent YoY to RM20.1 million versus RM14.0 million previously.
The proposals are expected to be completed by the second quarter of 2023.