MoneyMax Financial on Tuesday said its unit Cash Online would acquire stakes in 13 entities that carry out pawn broking business in Malaysia for RM56.6 million (S$18.3 million).
The deal was entered with CMS Top Holdings Sdn Bhd and four unnamed individuals, which the group said were "not related to the directors or controlling stakeholders of the company".
Singapore-based MoneyMax, a provider financial services through pawnbroking, retailing and trading of pre-owned jewelry and watches, said the proposed acquisitions will provide the group with a good opportunity to expand its geographical network of pawn broking operations in Malaysia.
It plans to fund the acquisitions through internal resources, the company said in a regulatory filing.
For the 12 months ended December 31, aggregate net loss of the targets was about RM1.02 million, and net tangible assets was about RM50.1 million.
Shares in MoneyMax gained about 3 percent to S$0.18 on the Singapore Exchange.