SINGAPORE (Mar 8): Top Glove's position as the largest manufacturer of gloves should be safe for now after the company received unanimous consent from its shareholders to proceed with the proposed acquisition of Aspion.

In Jan, the group entered into a share purchase agreement (SPA) with Adventa Capital for the acquisition of Aspion, the surgical glove producer, for RM1.37 billion ($434 million).

See: Top Glove acquires surgical glove producer Aspion for $434 mil

Of the total consideration of RM1.37 billion, RM1.23 billion will be satisfied in cash, while the balance will be satisfied through the issuance of about 20.5 million new Top Glove shares.

Upon completion of the acquisition, the group says it will be better positioned to serve its enlarged customer base more effectively, with an enhanced range of medical gloves.

In addition, the group will also fortify its market leadership position by leveraging Aspion’s technologies and innovations, as it continues to focus on research and development (R&D) initiatives.

Lim Wee Chai, executive chairman of Top Glove, says, “Our acquisition of Aspion represents our largest M&A exercise yet. However, this is only the beginning. Top Glove is only 27 years old this year and as a young company, we are still on expansion mode. We look forward to successfully carrying out more such exercises in order to grow and to solidify our leadership position in both the glove and healthcare industry.”

As at 3.00pm, shares in Top Glove are trading at $3.21.