MCE Holdings Bhd’s wholly owned subsidiary, Multi-Code Electronics Industries (M) Bhd, has entered into a memorandum of understanding (MoU) with Suzhou Prachtig Electronic Material Co Ltd of China to set up a framework for the consultation and exchange of information and technology.
In an exchange filing yesterday, MCE said the MoU will enable the company to localise the products in order to develop, produce, market and supply the automotive plastic parts and value-added processes in Malaysia and Asean countries.
Both parties also intend to incorporate a joint-venture company for the purposes of carrying on the business of designing, developing, manufacturing and supplying of the products.
The partnership shall commence on the date of execution of the same and shall remain in force for a duration of two years and shall automatically be extended on a yearly basis.
However, each party may terminate the MoU by providing a one month’s written notice in advance to the other party.