Electronics Production | June 11, 2008
Venture acquires remaining stake in subsidiary
Venture has, through its wholly-owned subsidiary, GES Investment, acquired the remaining 40% equity interest in its subsidiary, Scinetic Engineering, for a total cash consideration of USD13.57 million.
On completion of the Acquisition (together with the Group’s original 60% equity interest in SCE), SCE will become a wholly-owned subsidiary of the Venture Group. The Group acquired its original equity interest in SCE in November 2005 for purposes of augmenting its capabilities in retail systems solution, as well as to enhance its design offerings to its customers in the computer application and peripheral sector. In acquiring the remaining interest in SCE, Venture plans to fully integrate SCE’s design and manufacturing services into the Group to further strengthen its design and manufacturing support to its customers. Furthermore, the Group expects to benefit from heightened complementary services and overall competency. The Acquisition is not expected to have any material impact on the net tangible assets per share and the consolidated earnings per share of the Venture Group for the current financial year. None of the Directors or substantial shareholders of Venture has any interest, direct or indirect, in the Acquisition save through their respective shareholdings in Venture.