AYS Ventures Bhd has entered into an agreement to dispose of its 74% equity interest in Singapore-based Steelaris Pte Ltd to CosmoSteel Holdings Pte Ltd for S$5.18 million (approximately RM16.45 million), as part of its strategy to optimise its investment portfolio.
In a filing with Bursa Malaysia, the company said its indirect wholly-owned subsidiary, Ann Yak Siong (Singapore) Pte Ltd (AYSS), signed a sale and purchase agreement with CosmoSteel on Sept 22.
The agreement also involves other Steelaris shareholders, namely Hanwa Singapore, Hyundai Corporation Singapore, Handi Saswita and Yee Yeow Cheong, who will collectively dispose of their remaining interests.
The total consideration for the acquisition of Steelaris is S$7 million, to be settled through a combination of cash and new CosmoSteel shares issued at S$0.25 apiece.
Under the agreement, AYS Ventures will receive S$1.81 million in cash and 13.47 million new CosmoSteel shares for its 74% stake.
The final settlement structure differs from the earlier term sheet announced on June 26, which proposed S$2.59 million in cash and 10.36 million CosmoSteel shares.
AYS said the revised arrangement, which increases its share consideration while reducing the cash component, was determined to be in the group’s interests following further discussions with CosmoSteel.
The proposed disposal is expected to result in a loss of approximately S$324,000, equivalent to RM1.03 million, after consolidation adjustments.
Steelaris had unaudited net assets of approximately S$5.42 million as at June 30, 2026.
AYS said the disposal forms part of its strategy to unlock value from its investment in Steelaris while creating opportunities for the business to expand through its combination with CosmoSteel.
The enlarged platform is expected to benefit from the companies’ complementary customer networks, geographical presence, operational resources and industry expertise.
The group also anticipates potential operational synergies through improved procurement, supply chain management, project execution and customer servicing.
AYS said the transaction would provide Steelaris and CosmoSteel with a broader platform to pursue growth opportunities and strengthen their competitiveness amid evolving market conditions.
