KUALA LUMPUR (May 10): Two subsidiaries of software company Nova MSC BHD (KL:NOVAMSC) have attracted the interest of another Singapore-based family office Mark Investment Group VCC, which is considering investing about RM41 million in the companies.
Mark Investment is interested in investing S$5 million (RM17.5 million) into Nova MSC's 60%-owned Dex-Lab Pte Ltd, which is involved in so-called social robots — according to its website.
It also would like to invest US$5 million into Nova MSC's 42%-owned EyRIS Pte Ltd, which is involved in the development of artificial intelligence for automated image analysis for eye diseases.
Mark Investment has signed term sheets with the two subsidiaries for the potential investments, which are subject to due diligence and negotiations, according to Nova MSC in a bourse filing on Friday.
The term sheets are non-binding and independent of each other, Nova MSC said.
"They (the term sheets) only served as the basis for further discussions, negotiation and execution of definitive agreements, completion of due diligence, and fulfilment of any regulatory requirements, and shall not be construed as an intention to create any legally binding obligation on or agreement between the parties to proceed therewith unless and until such time as definitive agreements are executed.
"The investment process is estimated to be completed before July 31, 2024," its filing read.
Just last month, Nova MSC announced that Jostar Investment VCC had expressed interest in investing the same amount in the same subsidiaries.
Like Mark Investment, Nova MSC said Jostar Investment is a Singapore-based single-family office that primarily seeks out high-growth private companies and taps into their growth through equity investments.
As of market close on Friday, Nova MSC's shares settled unchanged at 11 sen, giving the company a market valuation of RM131.83 million.