PETALING JAYA: Industronics Bhd has inked a memorandum of understanding (MoU) with Bluemont Financial Group as well as Li Hok Yin, a shareholder of Bluemount on the proposed acquisition of a stake in the group.
The MoU sets the framework for all parties involved to discuss and negotiate on the details as well as terms and conditions with regards to the proposed acquisition, with the intention of entering into a definitive agreement in due course.
Hong Kong-incorporated Bluemount offers comprehensive financial services with five main divisions – securities brokerage, asset management, credit services, capital financing and commodities.
Its shareholders include Hong-Kong listed company Echo International Holdings Group Limited with 30%-stake while the balance 70% is held by four individuals, including Li.
Industronics general manager Lee Chee Cheng said he sees the stake acquisition as a very strategic addition.
“As a licensed entity, Bluemount has access to the attractive securities, asset management and money lending businesses in Hong Kong. Since 2017, it has successfully raised some HK$2.3 billion (RM1.2 billion) in funding from the capital market for its Hong Kong-listed clients, which is a great achievement in my opinion,” he said.
He added that assimilating Bluemount’s expertise in financial services and market access with Industronic’s competency and capability in technology services will open up many new opportunities, including pivoting the enlarged group towards the fintech segment.
“We have strong conviction that the future of finance is technology driven and as such, fintech is the direction that we are pursuing moving forward. We see ourselves playing a key role in the revolution of financial services industry.
“Furthermore, we see synergies as well with Bluemount. It has an e-commerce platform, ECHK Mall, while we too, are involved in the e-commerce space through our subsidiary, All Best Group Limited. Combining the forces would yield greater impact, economies of scale and much larger customer base.”
