KPS to acquire entire stake in MDS Advance for RM85mil

KPS managing director and group CEO Ahmad Fariz Hassan

KUALA LUMPUR: Kumpulan Perangsang Selangor Bhd (KPS) expects to enhance its future profitability on an enlarged earnings base with the acquisition of a 100 per cent equity stake in MDS Advance Sdn Bhd via its wholly-owned subsidiary, Perangsang Dinamik Sdn Bhd, for RM85 million.

The purchase consideration of RM85 million values MDS Advance within the industry benchmark in terms of enterprise value/earnings before interest, tax, depreciation and amortisation (EV/EBITDA) ratio of 7.9 times, which will be fully satisfied by internally generated funds, KPS said in a filing with Bursa Malaysia today.