Inari Among Most Active During Early Trade After RM1.03 Bln Lumileds Joint Acquisition

KUALA LUMPUR, Aug 4 (Bernama) -- Electronics manufacturer Inari Amertron Bhd emerged as among the most active stocks at early trade following its joint acquisition of equity interest in Lumileds Holding BV for US$239 million (RM1.03 billion).

At 10.26 am, the counter lost 10 sen to RM2.03 with a total of 27.49 million shares traded.

In a filing with Bursa Malaysia on Friday, Inari said the group and China’s Sanan Optoelectronics Co Ltd have jointly acquired 100 per cent equity interest in Lumileds Holding BV and its 11 Asian and European subsidiary companies.

It said all parties have entered into a share purchase agreement with Dutch-based Lumileds Subholding BV for the proposed acquisition.

Meanwhile, RHB Investment Bank Bhd (RHB IB said the acquisition gives Inari the potential to become the preferred outsourced semiconductor assembly and test (OSAT) vendor for Lumileds and Sanan under the China Plus One strategy.

“It also opens captive business opportunities over the longer term, leveraging Sanan’s expertise in advanced packaging, silicon carbide, gallium nitride, and light-emitting diode (LED)  technologies,” it said in a note today.

Therefore, RHB IB reaffirmed a ‘buy’ call on Inari with a target price of RM2.45 per share.

-- BERNAMA