PETALING JAYA: Cosmos Technology International Bhd
has signed a non-binding letter of intent to acquire a 51% stake in Orisystems for an indicative RM16.52mil, to be satisfied through the issuance of new shares.
In a filing with Bursa Malaysia, Cosmos said the proposed acquisition involves 510,000 ordinary shares in Orisystems from Akil Ahmad Mohammed Ishaq and Othman Ali.
The RM16.52mil consideration will be settled via the issuance of 33.048 million new Cosmos shares at 50 sen each.
The parties aim to finalise a definitive agreement within six months, subject to mutual agreement on the terms, including a profit guarantee.
Under the profit guarantee, Orisystems is expected to achieve a profit after tax of not less than RM3.6mil for the financial years ending Dec 31, 2027 to Dec 31, 2029.
Orisystems is principally involved in the manufacturing of electronic parts and components in general and aerospace, general trading and general product packaging.
“Orisystems is an existing operating company in the EMS industry with an established operating
track record. The Proposed Acquisition provides an opportunity for the Group to broaden its
business portfolio by venturing into the electronics manufacturing services (EMS) industry.
“Through the proposed acquisition, the group will gain immediate access to Orisystems’ existing operations, thereby allowing the group to venture into the EMS industry without having to establish the necessary operational capabilities and resources organically from the outset.”
