Metronic and Its Overseas Foray

Like it's name, Metronic is becoming truly global. It has over the years developed strategic alliances and opened offices in strategic locations in both the Middle-east and in Asia. It's ambition is to enlarge overseas revenue contribution from the current 20 % to 60 % by next year.

As such, to date, it has bide for more than RM600 million worth of projects overseas,chiefly in India and in the Middle-east. One of these projects is to set up a building automation system for an airport in India. This is additional to the current RM10.5 million contract with the Airports Authority of India to set up a building system for a cargo complex in Kolkata. Imagine there are 32 airports in India and they can all be potential customers of Metronic.

It's current order book of RM300 million worth of projects will last the company for two years. This include the manufacturing of key security systems as an OEM for General Electric.

Metronic is also in new business ventures after acquiring Newtronics, a high-volume printed circuit company in China. This company in Hangzhou also manufactures celullar phones and other mobile electronic components. About RM6 million will be invested soon to increase its production lines.

In order to increase its success rate in overseas projects, Metronics has started to work with local Malaysian companies having a presence in those countries.

Metronic will be transferred to Bursa's Main board in mid-July.

At the current price of 40 sen, Metronic should trade ex-bonus at 21 sen on 12 July 2007.

Heartsong