Ezion Holdings takes up strategic stake in JK Tech Holdings

Ezion Holdings is taking a strategic stake in Catalist-listed JK Tech Holdings.

The mainboard-listed has agreed to subscribe for 42 million new JK Tech shares at nine cents apiece or $3.78 million.

The offshore marine group also has an option to acquire an additional 260 million shares at nine cents apiece.

Giving its rationale for the investment, Ezion said it had come across opportunities in the exploration, exploitation and production of oil and gas in the course of its business.

As a result, it intends to introduce these opportunities to JK Tech.

This business is complementary and not in competition with the existing business of Ezion and also represents an opportunity for synergy.

Ezion believes that this tie-up will enhance its long term viability.