SINGAPORE, 10 SEPTEMBER 2009 -- Tokyo-listed KDDI Corporation, Japan's second largest telecom operator, is investing S$183.1m (US$128.5m) in Singapore-listed DMX Technologies in strategic share placement.
DMX Technologies is an information technology enabler and provider of a wide range of digital media software and solutions, specialising in providing integrated IT solutions to enable telecommunications operators, CATV operators, mobile operators, media corporations and enterprises to deliver enhanced services to their end-users.
According to the official sources, the proposed placement (of 588,772,535 new ordinary shares of 5 US cents each in the capital of DMX) upon approval from shareholders of DMX in a special general meeting to be convened in due course, marks a critical milestone for DMX to tap into the innovation, expertise and know-how of KDDI across different markets, services and products.
With the enhancement of our balance sheet through the injection of new capital, DMX will have the financial strength and flexibility to capitalise on new business opportunities and continue its value creation through the development of software and the expansion of DMX's services, said Jismyl Teo, DMX's CEO and co-founder. This partnership will also enable DMX to enlarge its geographical footprint. The businesses of KDDI and DMX are complementary to each other and we look forward to the rare opportunity of being part of a financially strong and reputable telecom operator.
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