Int'l Capital makes reverse takeover deal

INTERNATIONAL Capital Investment - formerly Jurong Engineering - is about to get a new lease of life by buying the Akira electronics business.

The firm's shares have been suspended since Dec 1, 2005 after it sold off its engineering and construction business.

It had a year to find a new core business or risk being delisted but the firm won an extension from the Singapore Exchange (SGX) that was to end today.

In a timely announcement, it said last night that it plans to do a reverse takeover by buying the consumer electronics arm of mainboard-listed TT International, which comes under the Akira brand name.

Separately TT International also trades and distributes branded consumer electronics products.

International Capital will buy the rights to design, manufacture and distribute products under the Akira brand.

It will issue new shares worth about $90 million to TT International to pay for the deal.

International Capital has also applied to the SGX for a further six-month extension to present its proposal for relisting its shares.

Businessman Oei Hong Leong owns about 76 per cent of International Capital but if the deal is successful, TT International will become the firm's largest shareholder.

LEE SU SHYAN