Sanichi inks JV MoU with German firm Protev

by **Cals** Thu 10 Dec 2015, 01:04

Sanichi inks JV MoU with German firm Protev

By Supriya Surendran / theedgemarkets.com | December 9, 2015 : 8:58 PM MYT

KUALA LUMPUR (Dec 9): [size=16]Sanichi Technology Bhd ([You must be registered and logged in to see this image.] Valuation: 1.50, Fundamental: 1.50) had on Dec 8, 2015 entered into a Memorandum of Understanding (MoU) with German firm Protev International GmbH to form a joint venture (JV) in providing a one-stop product and service centre to all its customers worldwide in the manufacturing of plastic injection moulds and tools.

In a filing with Bursa Malaysia today, it was revealed both parties intend to form a JV company called Sanichi Protev Sdn Bhd, in which Sanichi will hold a 51% stake and Protev, the remaining 49%.

“Sanichi shall be responsible for the product design and production activities, whereas Protev shall be responsible for the marketing and product distribution in the JV company,” read Sanichi’s announcement.

Incorporated in Germany, Protev is an innovator in mould injection-tooling consulting, with over 25 years of experience as a one-stop solution provider worldwide, helping companies of all sizes and across various industries, especially in Europe, United States of America and Mexico.

This MoU is not expected to have any immediate material effects on the issued and paid-up share capital, net assets and earnings per share of Sanichi Group for the financial year ending June 30, 2015.

Sanichi is involved in the design, R&D, fabrication, repair and modification of precision advanced and conventional plastic injection mould.

Sanichi shares were down 0.5 sen or 5.88% today to 8 sen, for a market capitalisation of RM91.56 million.

(Note: The Edge Research's fundamental score reflects a company's profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)
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