Destini buys Destination Marine for RM90mil
PETALING JAYA: Destini Bhd has bought Destination Marine Services Sdn Bhd (DMS) for an indicative value of RM90mil to be paid via a combination of issuance of new Destini shares at 70 sen each and/or cash.
The engineering solutions provider said in a statement that the acquisition came with a profit guarantee of RM10mil in 2015 and RM15mil in 2016.
DMS manufactures paramilitary boats and vessels, as well as provides ship repair and marine-related engineering services.
Destini managing director Datuk Rozabil Abdul Rahman said the acquisition was in line with it plans to expand the marine division further.
“It is earnings accretive and provides many synergistic benefits to the company.
“We are now able to offer a wider range of marine products and maintenance services to include paramilitary vessels used for patrolling exercises and search and rescue operations. Our technical capabilities would also be enhanced through cross sharing of technical knowledge and expertise in handling these type of vessels,” he said.
Destini said boat building and ship repair services would be carried out at DMS’ shipyards in Port Klang and Bakar Batu, Johor. These yards are capable of handling boats weighing up to 450 tonnes.