MQTech teams up with JD Resources to buy glove company
15 Jul 2020
Mould and die maker MQ Technology Bhd (MQTech) is teaming up with Hong kong-based JD Resources International Ltd to have a joint-venture (JV) in the manufacture and marketing of gloves.
In a statement today, the ACE Market company said its wholly-owned subsidiary Microlead Manufacturing Sdn Bhd had inked an agreement with JD Resources to set up a JV firm to acquire an existing glove company.
JD Resources chairman Datuk Muzamir Mustafa said his trading company had flown more than 350 metric tonnes of rubber gloves, sourced from local manufacturers, to Europe alone in the past few months.
“On the back of our track record, several local banks have shown strong interest to participate in this acquisition exercise of a glove factory, and currently we are negotiating with four glove companies,” he said, adding that the acquisition would be concluded within two weeks.
MQTech and JD Resources will subscribe to 30 per cent and 70 per cent equity interest, respectively, in the JV company.
MQTech said it would be entitled to increase its participation by acquiring 30 per cent of the equity capital held by JD Resources at a fair market value in due course.