PETALING JAYA: ACE Market-listed INIX Technologies Holdings Bhd and L&S Gloves Sdn Bhd will start commissioning an additional two latex glove production lines by February to complement the existing two lines which are in production.
Inix executive director Siva Kumar Kalugasalam said the company’s wholly owned subsidiary, INix Glove Manufacturing Sdn Bhd (iNix Glove), has signed a 10-year lease agreement (renewable for another 10 years) for a 0.91ha glove factory site in Beranang, Selangor.
“Earlier last month, with the full support of the board members, Inix entered into a memorandum of agreement (MoA) and has paid a 45% deposit to acquire L&S Gloves, in which the definitive agreement for the acquisition is at an advanced stage and pending finalisation, ” he said in a statement.
L&S Gloves director Teo Xiong Sheng said with the new tenancy agreement, the partnership will be able to add two more production lines next month.
“Thereafter, INix Glove would add two production lines every three months until a total of 14 production lines are commissioned, ” he said, adding that “L&S Gloves has sufficient orders to sustain for the next two years for the planned 14 production lines which have a production capacity of over 110 million pieces of latex gloves a month”.
Inix inked an MoA with L&S Gloves on Dec 7 to acquire a 51% equity interest in the latter at an investment of RM50mil. — Bernama