DGB (0152) DGB Asia emerges as PUC (0007) PUC’s substantial shareholder
KUALA LUMPUR (Nov 18): DGB Asia Bhd, a software and engineering solutions company, has emerged as a new substantial shareholder of ACE Market-listed PUC Bhd, after acquiring a 6.51% stake or 40.2 million shares in the open market.
In a bourse filing today, DGB said its wholly-owned subsidiary DGB Networks Sdn Bhd had acquired the shares in PUC during the period from Oct 12 to Nov 17 for a total of RM10.05 million.
"The PUC shares were acquired at prevailing market prices of PUC shares at the time of acquisition and were funded entirely from internal funds," it added.
DGB said the group intends to look into opportunities to capitalise on the new relationship with digital lifestyle service provider PUC, including the potential of sourcing related technology and future expansion of logistic services and other business opportunities.
"This acquisition is consistent with the DGB Group’s strategy to further increase potential revenue streams in online marketplace, advertising and media, and financial services from the synergisticcollaboration for the PUC and its subsidiaries.
"The acquisition will allow DGB Group to further improve its logistic services segment by leveraging on PUC’s capacity as the largest Malaysian homegrown online marketplace and payment solutions coupled with PUC’s strong foundation and expertise in integrated media services," it added.
DGB said the acquisition is also expected to allow the group to benefit from economies of scale and create synergies through collaboration and sharing of technical expertise, with an aim to enhance DGB Group’s financial performance and shareholders’ value.
DGB shares ended the day 0.5 sen or 11.11% lower at 4 sen, bringing a market capitalisation of RM64.09 million. PUC shares also closed down 0.5 sen or 1.92% at 25.5 sen today, valuing it at RM157.37 million.
http://www.theedgemarkets.com/article/dgb-asia-emerges-pucs-substantial-shareholder
