Kumpulan Jetson Reshapes Manufacturing Portfolio with RM14.8 Million Disposal

Kuala Lumpur — Kumpulan Jetson Bhd has announced the sale of its entire equity stake in GRP Sdn Bhd for a total consideration of RM14.8 million, marking a strategic move to streamline operations and refocus on its core manufacturing strengths.

The disposal will be executed via GRP Holdings Sdn Bhd, a wholly owned unit of Kumpulan Jetson, which has entered into a share sale agreement with Ng Boon Hong to divest 100% of its interest in the adhesives and sealants manufacturer.

Transaction Structure and Financial Breakdown

The agreed consideration consists of RM3 million in cash, with the remaining RM11.8 million settled through the assumption of outstanding intercompany loans and other liabilities owed by the holding company to GRP.

For the financial year ended March 31, 2025, GRP reported a profit after tax of RM1.53 million and net assets of RM14.77 million, reflecting a valuation broadly in line with its book value.

Strategic Focus on Core Industrial Operations

Kumpulan Jetson said the divestment is part of a portfolio rationalisation strategy aimed at sharpening focus on its automotive anti-vibration components business, which remains the group’s primary growth driver.

This type of operational consolidation is increasingly common among manufacturers occupying industrial property in the Subang area and factory facilities in Puchong, where businesses are prioritising scale efficiency, automation, and alignment with core production competencies rather than maintaining diversified manufacturing lines.

Use of Proceeds and Financial Impact

The group plans to deploy the cash proceeds for general corporate purposes and future manufacturing-related initiatives, with utilisation expected within the next 12 months.

Kumpulan Jetson noted that the transaction is not expected to materially affect its net assets, gearing levels, or earnings for the financial year ending March 31, 2026.

Completion Timeline and Market Response

The disposal is expected to be completed within 90 days from the agreement date, subject to customary closing conditions.

Shares of Kumpulan Jetson closed unchanged at 12 sen, valuing the company at approximately RM50 million.