Astro plans to invest RM110mil in JV with GMK

PETALING JAYA: Astro Malaysia Holdings Bhd’s unit has proposed to invest RM110mil in a joint venture (JV) with Grup Majalah Karangkraf Sdn Bhd (GMK) to provide content in Malaysia and Indonesia.

In a filing with Bursa Malaysia, Astro said its wholly owned subsidiary Astro Digital Sdn Bhd (ADSB) had entered into a conditional JV agreement with GMK and GMK’s wholly owned unit KK360 for the creation and monetisation of content verticals in Malaysia and the Nusantara region.

Under the JV agreement, ADSB would acquire a 51% interest in KK360 for RM100mil to be paid in tranches.

“The investment amount is subject to a reduction in the event the 15 active intellectual properties (IP) are not able to be registered by KK360 under the identified trademark classes by the fifth anniversary from closing, and/or whether there is any IP infringement claim in respect of any of the IP,” Astro said.