Acme inks collaboration to manufacture hardware devices for AI
23 Nov 2020
Plastic product manufacturer Acme Holdings Bhd has partnered with artificial intelligence (AI) innovation firm Skymind Holdings Bhd (SHB) and investment holding firm Java Multimedia Sdn Bhd (JMSB) to collaborate in the manufacture of hardware devices for AI.
The group said in a bourse filing it had entered into a joint-venture (JV) agreement with SHB and JMSB to form a JV company, namely Skymind Intelligent Systems Sdn Bhd, for the purpose.
Acme, SHB and JMSB will hold 30%, 49% and 21% respectively of the JV company.
Under the JV agreement, Acme will provide hardware for the project, whereby the company through its wholly-owned subsidiary Supportive Technology Sdn Bhd, or any other subsidiaries, will be the electronic assembly manufacturing facility for the project which includes hardware for memory storage, graphics processing unit (GPU)-accelerated (computing) and central processing units (CPUs).
Acme will also utilise and employ SHB’s product specifications for manufacturing the hardware. It will also provide funds for the JV.
Meanwhile, SHB will be responsible to apply and obtain from relevant authorities the requisite licences, permits and consent related to operations of the project.
It will provide software services, technology products, platforms, and consultation and training regarding the project. It will also contribute its expertise.
JMSB has agreed to grant Acme an irrevocable option to purchase all of JMSB’s shares in the JV.
Acme said the JV is in line with its overall corporate strategy to pursue new business opportunities with the aim to enhance shareholders’ returns from investments.
“It enables Acme and its subsidiaries to undertake the manufacturing of Skymind Edge Devices for AI applications, and ride on the vast potential and strong growth of the technology, AI and Internet of things (IoT) industry,” it said.
It also expects the JV to contribute positively to the group’s future earnings and earnings per share (EPS), and enhance its consolidated net assets.
At the noon break, Acme was unchanged at 51.5 sen, valuing the firm at RM158.49 million.
Source: The Edge Markets Posted on : 23 November 2020
