PETALING JAYA: Arka Bhd, formerly known as Transocean Holdings Bhd
, is disposing its 40% stake in Enfrasys Solutions Sdn Bhd (ESSB) to Joy Jewel Sdn Bhd for RM43mil.
In a filing with Bursa Malaysia, the group said the sale represents a price-to-earnings (PE) multiple of 5.9 times based on Arka’s share of profit after tax attributable to owners of the company in ESSB Group for the financial year ending Dec 31, 2024 audited financial results.
Arka’s share of profit in ESSB Group pursuant to its 40% equity interest in ESSB was RM7.3mil.
Arka noted the PE of 5.9 times represents a discount of 23.4% to the PE multiple of comparable companies like Infoline Tec Group Bhd, Kronologi Asia Bhd, SMRT Holdings Bhd and Divfex Bhd. It said the proposed disposal will be settled in cash and that the original cost of investment in ESSB was RM20mil on Sept 30, 2021.
Arka added RM13mil or 30.2% of the proceeds will go to the expansion of Arka Group’s logistic division. Another RM10mil or 23.3% of the proceeds is allocated for potential investments and RM17.4mil or 40.3% is earmarked for general working capital. RM2.7mil or 6.2% is to defray the estimated expenses in relation to the proposed disposal.
ESSB is principally involved in the business of providing training and consultancy services in the field of information technology including but not limited to software development, system integration, programming and strategic planning.
