KUALA LUMPUR (Sept 3): Techna-X Bhd (KL:TECHNAX) is selling its entire 50% stake in loss-making Hong Kong-based super battery and capacitor maker HK Aerospace Beidou New Energy Technology Co Ltd (HKAB) for RM45 million cash, with the proceeds to fund its restaurant expansion.
The group said RM30 million of the proceeds will be used to open 10 new restaurants or outlets in central Peninsular Malaysia and reimage two existing outlets through Craveat International, the operator of Italiannies and TGI Fridays in Malaysia.
The remaining RM13.5 million will be used for working capital, including the settlement of trade and other payables as well as general operating and administrative expenses, while RM1.5 million has been set aside for expenses related to the disposal, according to the group’s bourse filing.
Techna-X had invested RM41.66 million in HKAB in October 2020.
Although HKAB returned to the black with a profit of RM453,000 for the 18-month period ended Dec 31, 2025, it had incurred losses of RM2.42 million in the 18-month period ended Dec 31, 2024 and RM17.06 million for the financial year ended Dec 31, 2022.
As at end-December last year, HKAB had total liabilities of RM34.22 million, exceeding its total assets of RM21.06 million. Equity attributable to its owners stood at negative RM20.95 million.
Techna-X said it is selling its stake to Tess Global Sdn Bhd after entering into a conditional share sale agreement with the investment advisory firm on Thursday. The proposed disposal is expected to generate an estimated net gain of RM19.74 million.
Tess Global’s shareholders include Wong Khing Hung, who holds a 40% stake, Abdullah Abbas Wan Mohd Hasni with 38%, and Datuk Aziz Mustafa with 19%.
Completion of the deal is subject to several conditions, including satisfactory legal, financial and tax due diligence, shareholder and board approvals, Bursa Malaysia clearance, regulatory approvals in Malaysia or Hong Kong, and there being no material adverse change in the company.
The disposal is expected to be completed by the second quarter of 2027.
Shares of Techna-X closed unchanged at three sen on Thursday, valuing the group at RM8.82 million.