SINGAPORE (Aug. 3, 12:15 p.m. ET) — Singapore-based Sunningdale Tech Ltd. said it has reached an agreement to buy two plastics manufacturers in Latvia and Sweden as part of its global business expansion plans.
The company's Sunningdale Design Pte Ltd. Subsidiary is buying Akciju SabiedrÃ«ba ATEC (AS ATEC) of Latvia and ATEC of Sweden AB (AOS) from Plasticscommerce Pte Ltd.
Sunningdale said the two companies' existing business would be synergistic to its molding and tooling business, and would help expand customer base, product portfolio and capabilities into Europe.
The acquisition would also allow an opportunity to build and establish a business relationship with one of the largest home furnishing retailers in the world.
The two target companies manufacture, produce and sell plastic products to a global leading home furnishing company in Europe.
Meanwhile, Sunningdale Tech said it has renamed Sunningdale Tech Design Pte Ltd. to Sunningdale Tech (Europe) Holding Pte Ltd.
The deal involves cash consideration of S$14 million (US$11.6million) including a PCC loan to AOS of approximately S$455,000(US$376,284).
The unaudited net tangible asset value of the two companies is S$4.6 million (US$3.8 million).