YAN TAT GROUP Holding's subsidiary plans to acquire two companies involved in the manufacturing and sale of printed circuit boards

According to the news from Zhitong Finance and Economics APP, YAN TAT GROUP (01480) announced that on September 9, 2024, its wholly-owned subsidiary YAN TAT Global Limited (YAN TAT Global) (as the potential buyer) entered into a non-legally binding memorandum of understanding with Maruwa Seisakusho Co., Ltd. (Maruwa) (as the potential seller), regarding the proposed acquisition by YAN TAT Global of all the issued shares of Denshi Maruwa Industries (M) Sdn.Bhd. (Target A) and P.T.Maruwa Indonesia (Target B, collectively referred to as the Target Companies).

It is reported that Maruwa is a company registered and established under Japanese law, mainly engaged in the manufacturing and sale of printed circuit boards (PCBs). Target A is a company registered and established under Malaysian law, mainly engaged in the manufacturing of PCBs as well as molds and dies. Target B is a company registered and established under Indonesian law, mainly engaged in the manufacturing and sale of electronic components (including PCBs) in the electronic industry. As of the date of this announcement, Target A and Target B are wholly owned by Maruwa.

The announcement stated that the Group expects to develop the intelligent production facilities of the Target Companies upon the completion of the proposed acquisition (if implemented). In addition to maintaining and further enhancing the existing soft PCB production lines of the Target Companies, it will also introduce hard PCB production lines to meet the increasing market demand for automotive, artificial intelligence, and high-end high-density interconnect circuit boards.

The proposed acquisition (if implemented) will also enable the Group to optimize its product portfolio and provide customers with comprehensive global supply chain solutions