AT Systematization inks agreement to supply 30 million boxes of nitrile gloves
23 Feb 2021
KUALA LUMPUR (Feb 23): While there is a growing concern that the demand for rubber gloves will normalise sooner than later as vaccination continues globally, AT Systematization Bhd today inked an agreement with Kenteam Sdn Bhd (KSB) to manufacture and supply nitrile examination gloves.
In a filing exchange, the group said its wholly owned subsidiary, AT Glove Engineering Sdn Bhd, has reached an agreement to supply 30 million boxes of nitrile examination gloves for a period of 12 months and allocate 10 production lines to KSB.
It said KSB has been principally involved in the business of marketing and export of nitrile examination gloves to the United States, Canada, Europe, Japan and other countries over the past few years.
Meanwhile, AT Systematization also has agreed to deliver original equipment manufacturing services to KSB at KSB brand name, KENTeam.
Commenting on the agreement, the group said this will not only be able to broaden its product offerings to its customers via the promotion and marketing of the products, it will also be able to expand its customer base to the United State, Canada, Europe, Japan and other countries under KSB.
“Barring any unforeseen circumstances, the execution of MOU (memorandum of understanding) is expected to contribute positively to the future earnings of ATS Group once the products have been marketed, sold and distributed by KSB,” it said.
At noon break today, shares of AT Systematization closed unchanged at 15.5 sen, giving it a market capitalisation of RM655.51 million.
Source: The Edge Markets