Thursday 28 Mar 2024
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KUALA LUMPUR (Jan 7): Shares of property developer Tiger Synergy Bhd (TSB) jumped 5.56% in eraly trade after it signed a memorandum of understanding to acquire printed circuit board services company BPE Synergy Engineering Sdn Bhd through a share swap deal worth RM16 million.

At 9.06am, TSB rose half a sen to 9.5 sen with 2.29 million shares done.

As such, it expects revenue for its financial year ending June 30, 2016 (FY16) to triple from the RM15.1 million it saw in FY15, driven by launches of new projects with a gross development value (GDV) of RM386 million, and contribution from the consolidation of earnings from BPE once the acquisition is completed.

"We hope to complete the acquisition by the first half of 2016 (1H16). The agreement with BPE will include a profit guarantee of RM2 million per year, over three years, and the company generates about RM18 million in revenue per year.

"With the launch of our new property (projects) in 2016 and the acquisition, we expect a 200% increase in our revenue for the financial year ending June 30, 2016," TSB managing director Shirley Tan Lee Chin told the media at a briefing yesterday.

(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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