Smartag in RPT with Danawa

PETALING JAYA: Smartag Solutions Bhd will supply a terminal and front end system, as well as back end Near Field Communication engine, at a price tag of RM475,000 to Danawa Resources Sdn Bhd, which is owned by the group's chairman and major shareholder Datuk Amar Abdul Hamed Sepawi.
In a filing with Bursa Malaysia yesterday, Smartag said the transaction is deemed as a related party transaction, as Amar Abdul Hamed is also a director and controlling shareholder of Danawa, holding 99.99% stake.
"The RPT is a one-off transaction which will take about three months and is expected to be completed in the third quarter of the financial year ending Sept 30, 2014," it said.
The price consideration was based on a willing buyer and willing seller basis, said Smartag, adding that the payments term is 90 days. The Kuching-based Danawa is principally involved in the telecommunications and technology industry.