Notion Vtec bags RM338m European firm rubber gloves contract

KUALA LUMPUR (September 22): Precision parts maker Notion Vtec Bhd has signed a contract to supply disposable nitrile exam gloves for $ 82 million or Ringgit 337.8 million.

In a bag presentation, the group announced that its wholly-owned Notion Venture Sdn Bhd signed a sales contract with a European company, which is in the supply chain of personal protective equipment (PPE), for gloves from rubber.

Notion Vtec added that it will supply the gloves in two tranches. However, it did not identify the European customer to which it will supply the gloves, nor the number of gloves involved.

“This (the contract) is the result of the efforts of the PPE marketing team following the announcement of the company’s financial results for the third quarter that ended on June 30, 2020 comment [which stated] that the group will seek business and manufacturing opportunities for disposable nitrile gloves in addition to the mask business, ”he said.

He noted that the sale contract is expected to have a positive impact on its earnings and net assets per share from the first quarter ending December 31, 2020 (1QFY21), until the expiration of the sale contract.

At the time of writing, Notion Vtec shares were up 20 sen or 20% to RM1.20, valuing the company at RM563.93 million. He saw 49.12 million shares traded.