Inari Amertron scraps JV plans in China

PETALING JAYA: Inari Amertron Bhd has scrapped plans to set up a joint venture (JV) entity in China, after failing to meet the objectives of a memorandum of understanding (MOU) with PCL Technologies Inc.
In a filing with Bursa Malaysia yesterday, the company said despite various efforts and numerous discussions with PCL, both parties were unable to form the JV entity with a configuration that could satisfy the business strategies of both parties.
“Thus, Inari and PCL have decided jointly and mutually to terminate the MOU and hence negotiations with respect to the formation of the JV entity have ceased,” it said.
Inari said the termination does not have any financial impact on the company and it will continue to explore other potential business opportunities in China that will be useful for the expansion of its outsourced semiconductor assembly and test (OSAT) business.