SINGAPORE (March 14): OLS Enterprise, having aborted its earlier reverse takeover deal with a Malaysian phosphate maker, has found a new deal.

The company plans to spend S$715,969 to acquire a 20% stake in a Thai company called Venture Incorporation Public Co, which specialises in buying over bad debts from banks and also offers debt collection services for other lenders.

"The Board is of the view that the proposed acquisition is appropriate, given the business opportunities that it offers," said OLS executive chairman Simon Koo in a March 14 stock exchange filing.

"The Board believes that the proposed acquisition would enhance shareholder value for the Company," Koo added.

OLS will be paying for the acquisition of 124.49 million shares of Venture Incorporation by issuing 143.193 million new shares of its own at 0.5 Singaporean cent each, to the seller, Issaree Jirawatwithtaya.

Venture Incorporation used to be called Circuit Electronics Industry PCL and its core business was in electronics parts manufacturing and distribution. It went under in the wake of the 1997 financial crisis.

In 2015 a new group of investors resuscitated the company, started selling the non-performing assets, and shape it into its present form.

Besides managing bad debts owed by car buyers, Venture Incorporation is also expanding into asset management.

OLS shares last traded at 0.6 Singaporean cent, unchanged year-to-date.