Cheetah subscribes to 239.5 mil Lambo shares for RM23.95 mil

Cheetah subscribes to 239.5 mil Lambo shares for RM23.95 mil
-A +A

KUALA LUMPUR (Sept 13): Cheetah Marketing Sdn Bhd, a wholly-owned subsidiary of garment retailer Cheetah Holdings Bhd, has subscribed to a total of 239.50 million rights issue of ordinary shares, with 95.8 million free detachable warrants, in Lambo Group Bhd for a total cash consideration of RM23.95 million.

In a filing with Bursa Malaysia today, Cheetah said the purchase was funded from internally-generated funds of Cheetah Group.

“Lambo Group’s current warehousing facilities, coupled with its intention to expand the capability and capacity of its warehouse facilities using Lambo rights issue proceeds complement well with Cheetah Group's intention to rejuvenate and expand its online marketplace.

“Lambo Group’s last-mile delivery infrastructure can be immediately deployed for use by Cheetah Group,” it said.

Lambo is principally involved in information technology and e-commerce business, with its geographical segments, including Malaysia and China.

“It provides e-commerce business in developing, managing online trading platform and trading of equipment. It is engaged in trading activities and the development of Internet-based e-commerce,” the company said.