NEXGRAM (0096) - Nexgram ups stake in Godynamic by 69.6% for RM18.53 mil
April 20, 2015 : 8:55 PM MYT
KUALA LUMPUR (April 20): Nexgram Holdings Bhd announced its wholly-owned subsidiary Nextnation Network Sdn Bhd had signed a share sale agreement with Power Solution Group Ltd to acquire 186,000 shares or 18.6% stake in Godynamic Investments Ltd for RM18.53 million cash.
The acquisition will increase Nextnation’s stake in Godynamic to 69.6%, from 51% currently.
In a filing with Bursa Malaysia this evening, Nexgram said the acquisition of the stake was based on the future prospects and potential earnings from Godynamic, stemming from the service agreement that its 84%-owned subsidiary PT Flower Star Media had signed with Small Guard Inc on March 20, 2015.
The service agreement grants PT Flower an exclusive right to undertake the mobile security data processing services for Small Guard for three years, beginning from April 1, 2015.
“PT Flower shall be entitled to a monthly data processing fee of US$0.60 (or RM2.22) per active subscriber on a recurring basis, upon the commercialisation of the data process infrastructure in the second quarter of 2015,” Nexgram said in a filing.
The ACE-listed Nexgram said it will pay a 10% refundable deposit of RM1.853 million within two weeks from the date of the agreement, and the remaining 90% or RM16.677 million will be paid within 90 days from the date of completion of the final condition precedent.
Nexgram, which is controlled by its managing director and chief executive officer Datuk Tey Por Yee with 20.13% equity stake, expects to complete the acquisition of new shares in the first quarter of the financial year ending April 30, 2016 (FY16).
For the financial year ended Dec 31, 2014 (FY14), Godynamic reported an after tax profit of RM686,425, on revenue of RM2.738 million.
Tey is embroiled in a corporate tussle with Protasco Bhd ( Financial Dashboard)’s managing director Datuk Seri Chong Ket Pen. Last year, Tey was removed from the board of Protasco in which he holds a 16.8% stake.
Besides Protasco, Tey also has a 5.21% stake in the loss-making property developer Malaysia Pacific Corporation Bhd (MPCorp).
MPCorp was classified as a Practice Note 17 company last year, after its auditor BDO served a voluntary resignation notice.
Nexgram's share price gained 4.55% to 11.5 sen, with market capitalisation of RM216.48 million.
http://www.theedgemarkets.com/
April 20, 2015 : 8:55 PM MYT
KUALA LUMPUR (April 20): Nexgram Holdings Bhd announced its wholly-owned subsidiary Nextnation Network Sdn Bhd had signed a share sale agreement with Power Solution Group Ltd to acquire 186,000 shares or 18.6% stake in Godynamic Investments Ltd for RM18.53 million cash.
The acquisition will increase Nextnation’s stake in Godynamic to 69.6%, from 51% currently.
In a filing with Bursa Malaysia this evening, Nexgram said the acquisition of the stake was based on the future prospects and potential earnings from Godynamic, stemming from the service agreement that its 84%-owned subsidiary PT Flower Star Media had signed with Small Guard Inc on March 20, 2015.
The service agreement grants PT Flower an exclusive right to undertake the mobile security data processing services for Small Guard for three years, beginning from April 1, 2015.
“PT Flower shall be entitled to a monthly data processing fee of US$0.60 (or RM2.22) per active subscriber on a recurring basis, upon the commercialisation of the data process infrastructure in the second quarter of 2015,” Nexgram said in a filing.
The ACE-listed Nexgram said it will pay a 10% refundable deposit of RM1.853 million within two weeks from the date of the agreement, and the remaining 90% or RM16.677 million will be paid within 90 days from the date of completion of the final condition precedent.
Nexgram, which is controlled by its managing director and chief executive officer Datuk Tey Por Yee with 20.13% equity stake, expects to complete the acquisition of new shares in the first quarter of the financial year ending April 30, 2016 (FY16).
For the financial year ended Dec 31, 2014 (FY14), Godynamic reported an after tax profit of RM686,425, on revenue of RM2.738 million.
Tey is embroiled in a corporate tussle with Protasco Bhd ( Financial Dashboard)’s managing director Datuk Seri Chong Ket Pen. Last year, Tey was removed from the board of Protasco in which he holds a 16.8% stake.
Besides Protasco, Tey also has a 5.21% stake in the loss-making property developer Malaysia Pacific Corporation Bhd (MPCorp).
MPCorp was classified as a Practice Note 17 company last year, after its auditor BDO served a voluntary resignation notice.
Nexgram's share price gained 4.55% to 11.5 sen, with market capitalisation of RM216.48 million.
http://www.theedgemarkets.com/
