KUALA LUMPUR: JF Technology Bhd has entered into an agreement with precision engineering provider Ikeda Technology (M) Sdn Bhd and its shareholders for the proposed acquisition of the latter's assets and business for RM4.5mil.

       JF technology, a manufacturer of high-performance test contacting solutions for global integrated circuit (IC) makers, said in a statement that the proposed acquisition is expected to be completed by the second quarter of 2022.

       "Given its complementary nature with our products, we will be able to create strong synergies and expand our product range.

       "In turn, we will be able to provide one stop engineering solutions that can be validated upfront during the development stage to ensure we get it right the first time," said JF Technology managing director Datuk Foong Wei Kuong.

       He added that the synergy will reduce the need for customers to assemble and test the products after putting together components from different solutions providers.

       Foong said the proposed acquisition is expected to contribute positively to the group as it comes with a revenue guarantee.

       "This exercise is also part of the group’s growth drivers that would further cement its position in the semiconductor industry as it continues to move up the value chain.

       "On balance, JF Tech’s prospects remain promising underpinned by the planned growth drivers and the

       expanding semiconductor industry, as well as the immense increase in semiconductor content for various applications," he added.