PRESS RELEASE

N2N Connect to acquire AFE Solutions for RM85.28mil

October 12, 2016

KUALA LUMPUR: N2N CONNECT BHD has proposed to acquire the entire equity in AFE Solutions Ltd from Reuters International Holdings SARL and Systex Capital Group Inc for RM85.28mil.

The Hong Kong-based AFE Solutions is a financial data and trading solutions provider with regional presence in Hong Kong, Macau and Vietnam.

In a filing with Bursa Malaysia on Wednesday, N2N Connect said the proposed acquisition would provide an opportunity for it to acquire an established company in the stock market solutions sector with presence across growing markets in Asia, robust financials and positive cash flows.

“N2N Connect is also able to control the strategic direction and management of the business of AFE Solutions in terms of new products offering to a larger market segment as well as expand its geographical coverage into new markets in Asia,” it said.

It said the acquisition would be funded via internally-generated funds and/or bank borrowings.

On completion, AFE Solutions would become a wholly-owned subsidiary of N2N Connect, it said.

“The proposed acquisition is expected to enhance the future earnings potential of the company and ultimately increase the shareholder value of the company,” it said.

It said the acquisition was also expected to deliver synergies through operational and cost efficiencies which in turn were expected to contribute positively to the future earnings and cash flows of the enlarged N2N group. – Bernama

Source from: https://www.thestar.com.my/business/business-news/2016/10/12/n2n-connect-to-acquire-afe-solutions-for-rm85pt28mil