UMS Holdings acquires 70% stake in Starke Singapore

UMS Holdings acquires 70% stake in Starke Singapore

Samantha Chiew
29/03/18, 06:43 pm

SINGAPORE (Mar 29): UMS Holdings announced that it is acquiring a 70% stake in non-ferrous metal alloys specialist, Starke Singapore.

The cash consideration for the acquisition will be determined based on the net tangible assets value per share of Starke for the financial period ended March which is still being prepared.

Based on Starke’s unaudited accounts for the financial year ended Dec 2017, the consideration shall be $7.1 million.

The acquisition will provide the group with a good opportunity to secure cost savings, improve gross margin and enhance business and operational synergies through upstream integration of the supply chain of raw materials.

In addition, it will also enhance the credibility of the order fulfilment of the group’s machining business.

The group intends to fund this acquisition via internal resources.

Andy Luong, chairman and CEO UMS, says, "This deal is both strategic and synergistic for UMS. We can gain from better economies of scale in view of the larger demand from UMS and other members of our group including JEP Holdings, which makes precision parts for the aerospace sector.”

Shares in UMS closed 1 cents higher at $1.17 on Thursday.

CapitaLand Mall Trust upgraded to 'buy' by UOB on Jurong Lake District plans, Funan launch

SINGAPORE (May 27): CapitaLand Mall Trust will benefit from the development of Jurong Lake District (JLD) as it has three retail malls located within Jurong Gateway, says UOB KayHian. See: CapitaLand Mall Trust declares 3.6% higher DPU of 2.88 cents on higher income IMM Building, JCube and Westgate, which in total accounts for 20% of CMT’s portfolio valuation, are located within Jurong Gateway and adjacent to Jurong East MRT station. Meanwhile, Funan, which is about 90% pre-committed for retail space and 98% pre-committed for office space, is scheduled to open next month. See als....

Time to 'buy' MindChamps as growth initiatives bear fruit: RHB

SINGAPORE (May 27): RHB Research continues to keep MindChamps Preschool at “buy” at a lower target price of 83 cents compared to 87 cents previously, indicating a 26% upside plus 2.2% yield. The reduced target price comes after cutting FY19-20F earnings by 7% and 11%, respectively, upon management indications that adopting SFRS 16 has negatively impacted the group’s 1Q19 pre-tax profit by about $90 million or -15%. In a May 17 report, analyst Juliana Cai says she nonetheless remains positive on MindChamps as she expects the group to start reaping returns from its investments as its....

Ascendas-Singbridge establishes co-innovation lab with IMDA & Enterprise Singapore

SINGAPORE (May 27): Singapore’s smart nation ambitions have been further bolstered by a new partnership between Ascendas-Singbridge, Infocomm Development Authority of Singapore (IMDA) and Enterprise Singapore (ESG) to form the Smart Urban Co-Innovation Lab. All three parties are looking to have a total of 30 co-innovation projects come out from the lab, which is expected to be launched at the end of the year as the first developer-led lab in Southeast Asia. This announcement follows last year’s call for innovation led by IMDA, Ascendas and JTC. Ascendas has published 12 probl....