KUALA LUMPUR (Oct 11): Digital payment provider PUC Bhd (KL:PUC) has proposed to dispose of more of its software and intellectual property (IP) rights for RM19.5 million in cash, as part of its strategy to streamline operations and focus on more viable and profitable ventures.
The company said its subsidiary Presto Technology Sdn Bhd signed an agreement on Friday to sell the assets, which include patents, copyrights, trade secrets, and other proprietary rights, to IT consultancy and services firm Grenapps Solution Sdn Bhd.
This comes after PUC announced in July that Presto Technology is selling some of its software and IP rights for RM22 million to G Solution Tech Sdn Bhd.
In a bourse filing, PUC said the latest deal will not impact its operations, and is expected to be completed within six months.
The disposal price, it said, represents a 14.36% discount on the RM22.3 million cost of investment that PUC had initially made in these assets. The assets' net book value stands at RM19.83 million.
For the three months ended June 30, 2024, PUC reported a net loss of RM40.36 million on revenue of RM1.82 million, mainly due to higher impairment losses, additional provisions for doubtful debts, and further impairment of goodwill. No comparative figures were available for the quarter as the company changed its financial year-end from Dec 31 to June 30.
PUC is involved in e-commerce, fintech and online creation businesses, as well as media, advertising and digital imaging.
Shares in PUC closed unchanged at four sen on Friday, giving the company a market capitalisation of RM108.89 million. Year-to-date, the stock has fallen 20%.