Destini to buy DMS for RM90m

PETALING JAYA: Destini Bhd has entered into a heads of agreement (HOA) with three parties to
buy Destination Marine Services Sdn Bhd (DMS), involved in boat building, ship repair and
marinerelated engineering services, for RM90 million.

Destini said the acquisition is a gateway to further increase its range of products and diversify its
supply of lifeboat segment by venturing into the supply, testing and commissioning of paramilitary
boats and its related MRO services to a different market segment.

“At the same time, Destini would be able to set up its manufacturing facility in Malaysia at the
Shipyard Land with ready main infrastructures which is currently owned by DMS,” it said.

The purchase consideration will be satisfied via new shares at 70 sen each in Destini and/or cash.
Under the HOA, Destini will also be given a profit guarantee of RM10 million for 2015 and RM15
million for 2016 to Destini, arising from the project.

Pending the completion of the proposed acquisition, DMS will proceed to award a subcontract
from its project to Destini.

On June 15, 2015, DMS received a RM381.3 million contract from Agensi Penguatkuasaan Maritim Malaysia to supply, deliver, test and commission six patrol vessels which it will subcontract
to Destini valued at RM372.3 million.

Source : The Sun Daily