GDS Global to Acquire Steel and Metal Works Companies for SG$30 Million; Shares Jump 24%
MT Newswires
Dec 02
GDS Global (SGX:5VP) agreed to acquire shares in Asiabuild Metal Engineering and Integrated Aluminium for SG$30 million, according to a Monday filing with the Singapore Exchange.
Shares of the manufacturer of industrial doors surged over 24% in Tuesday trading.
The consideration will be satisfied through allotment and issuance of up to 375 million shares at SG$0.08 per share.
As part of the acquisition, the company will also acquire a total outstanding debt of Integrated Aluminium of about SG$2.4 million at a fixed issue price of SG$0.08 per share.
The acquisitions are part of the company's proposed diversification strategy to secure a new revenue base and capture growth opportunities in other industries.
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