Hospital bed supplier LKL plans Covid-19 contact tracing product venture
09 Feb 2021
KUALA LUMPUR (Feb 9): LKL International Bhd’s wholly-owned subsidiary LKL Advance Metaltech Sdn Bhd had today entered into a memorandum of understanding (MoU) with Singapore-based iWOW Technology Pte Ltd to explore a potential cooperation to market and develop an electronic Covid-19 contact tracing product.
In a statement to Bursa Malaysia today, LKL International said iWOW manufactures trace token products, which use highly-secured Bluetooth devices that detect other devices to facilitate digital contact tracing in response to the Covid-19 pandemic.
“iWOW shall grant to LKL Advance Metaltech the distribution rights of the product. LKL Advance Metaltech shall be responsible to commercialise, market, sell and distribute the product in the territory of Malaysia.
“Both parties may enter into definitive agreements within 24 months from the date of the MoU. The MoU is governed by and be construed in accordance with the laws of Singapore,” LKL International said.
LKL International, which distributes medical equipment including hospital beds, said the MoU complements the existing business of the company and its subsidiaries in the medical and healthcare sector.
According to LKL International, the group will not only be able to broaden its product offering via the distribution of the Covid-19 contact-tracing product, but also expand its customer base in Malaysia.
“Should the collaboration materialise, it is expected to contribute positively to the earnings of the company,” LKL International said.
At Bursa’s 12:30pm break today, LKL International’s share price settled up one sen or 1.32% at 77 sen for a market value of about RM374.15 million.
LKL International said it has 485.91 million issued shares.
Source: The Edge Markets