My E.G. Services disposes subsidiary My E.G. Marketing

by **Cals** Wed 11 Mar 2015, 03:35

My E.G. Services disposes subsidiary My E.G. Marketing

By Meena Lakshana / theedgemarkets.com | March 10, 2015 : 8:22 PM MYT

PETALING JAYA (March 10): My E.G. Services Bhd announced it is selling its subsidiary, [size=14]My E.G. Marketing Sdn Bhd, to streamline the group’s business activities.

In a filing with Bursa Malaysia today, My E.G. Services said its subsidiary, My E.G. Capital Sdn Bhd, will dispose its 50.66% stake or 650,000 shares in My E.G. Marketing to Ng How Hon and Chai Hann Lin for RM571,933.15.

Ng and Chai, who are directors of My E.G. Marketing, each hold a 39.47% and 9.87% stake respectively in My E.G. Marketing.

Ng and Chai are expected to pay My E.G. Capital RM500,000 upon the execution of the sale and purchase of shares agreement, which My E.G. Capital, Ng and Chai entered today.

The remaining of RM71,933.15 shall be paid upon the completion of the disposal, the filing read.

My E.G. Services (fundamental: 3; valuation: 1.5) said the amount was reached through negotiation and mutual agreement between all parties.

The disposal is not expected to have any material effect on the earnings per share of My E.G. Services for the financial year ending June 30, 2015, the filing read.

My E.G. Marketing is involved in the marketing of credit cards, consultancy services, commission agents, event organising and other related activities.

My E.G Services’ counter closed one sen or 0.36% higher at RM2.77, with a market capitalisation of RM3.33 billion.

(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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