Green Packet buys 22% stake in Yen Global

PETALING JAYA: Green Packet Bhd has emerged as a substantial shareholder of loss-making Yen Global Bhd, after acquiring a stake of about 22% for RM18.15 million.
Yen Global, which is involved in the manufacturing, marketing, distribution and retailing of jeans wear, fashion apparel and accessories, has announced its plan to expand into the telecommunications industry through the sale of wireless broadband products. This new venture is seen to be synergistic to Green Packet's business.
In a filing with the stock exchange, Green Packet said it acquired 30.25 million shares via an off-market direct transaction.
Worth noting is that Yen Global's major shareholder, Taiwan-listed Gemtek Investments Co Ltd, raised its shareholding in Yen Global to 30.07% following a 20% stake buy last month.
Since then, Yen Global's share price has gained 54% in just a month. The counter was up 6.5 sen or 7.56% to 92.5 sen yesterday on 2.6 million shares done.
For the nine months ended April 30, 2016, Yen Global reported a widened net loss of RM9.22 million compared with RM8.63 million in the same period a year ago, due to impairment of slow-moving inventory.