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Sep 22, 2003 / in News
DELLOYD VENTURES ACQUIRES ATOZ MOTOR FOR RM6 MILLION

KUALA LUMPUR Sept 21 - Delloyd Ventures Bhd (DVB), has signed a sale and purchase agreement with Atoz Motor Marketing Sdn Bhd, to acquire 1.750 million ordinary shares in Atoz and to subscribe for another one million ordinary shares of RM1.00 for RM5 million and RM1 million, respectively.

Upon subscription of the one million ordinary shares, DVB would have 55 percent share equity in Atoz, the company said in a statement to the Kuala Lumpur Stock Exchange here Thursday.

DVB will finance the proposed acquisition by internally generated funds.

Atoz, principally involved in the trading of motor vehicles, has an authorised capital of RM500,000 divided into 500,000 ordinary shares of RM1.00 each, of which 300,000 ordinary shares have been issued and paid-up.

It has been appointed a dealer by Hyundai-Berjaya Sdn Bhd for the promotion and sale of Hyundai and Inokom range of vehicles as contained in the vehicle sales dealer agreement.

To-date, the company has a total of 12 branches with 10 in the Klang Valley, one in Ipoh and one in Melaka.

For the financial year ended Aug 31, 2002, the company posted a turnover of RM46.3 million and a net profit of RM224,094.

With the acquisition, DVB said that the group would better position itself in serving the needs of the automotive industry in the country.

The company said that there was also scoped to widen the network of Atoz branches and hence the prospect is expected to contribute positively to the group's turnover.

- www.utusan.com.my 22 Sep 2003