Top Glove To buy Aspion for rM1.37b
KUALA LUMPUR: Rubber glove manufacturer Top Glove Corporation Bhd has signed a deal to acquire Aspion Sdn Bhd, the surgical glove producing unit of Singapore’s Adventa Capital Pte Ltd, for RM1.37 billion.
On November 24 last year, the world’s largest manufacturer of gloves entered into a term sheet to negotiate definitive agreements for the proposed acquisition of Aspion Sdn Bhd.
Upon completion of the proposed acquisition, Top Glove will emerge the global leader in surgical glove manufacturing, further solidifying its status as the world’s largest manufacturer of gloves.
The acquisition is well-aligned with the group’s strategy to effectively and sustainably grow its business, representing an initiative to inorganically grow the business via a product extension merger alongside Top Glove’s organic expansion plans, said the company yesterday.
“Upon completion, the acquisition will provide Top Glove not only with an expanded product range but also full access to Aspion’s technologies and innovations, reinforcing Top Glove’s market leadership,” it said.
The deal would also see the merging of skills and experience, management talent, as well as, customers and suppliers of Top Glove and Aspion, which would strengthen the group’s growth profile and long-term value creation potential.
Top Glove said of the total RM1.37 billion purchase consideration, RM1.23 billion would be satisfied in cash, while the balance of RM137 million would be satisfied via the issuance of 20,505,000 new Top Glove shares at an issue price of about RM6.6813 each. Bernama