SAGTEC Global Limited (NASDAQ: SAGT) entered into a term sheet on March 12, 2026 to acquire a 60% majority stake in Malaya Heritage Holding Limited, the parent company of CNS Sdn. Bhd. and SS31 Kitchen Sdn. Bhd., which operate a portfolio of heritage‑style restaurants across Malaysia.
The total consideration for the transaction is USD 3.0 million, consisting of a USD 1.8 million fixed‑price share issuance and an earn‑out of up to USD 1.2 million tied to revenue and EBITDA milestones. Vendor shares will be subject to a 12‑month lock‑up period.
Malaya Heritage reported combined revenue of RM15.3 million (USD 3.9 million) for the year ended June 30 2025. Sagtec, meanwhile, forecasted a 92% revenue growth for FY2025, projecting FY2025 revenue of USD 22.3 million and Q3 2025 revenue of USD 17.9 million versus USD 7.8 million in Q3 2024, underscoring the company’s rapid expansion trajectory.
The acquisition aligns with Sagtec’s strategy to create vertically integrated revenue streams and to embed its POS, Speed+ smart ordering, and AI‑enabled analytics platforms directly into restaurant operations. By deploying its technology in Malaya Heritage’s venues, Sagtec will generate a new recurring revenue stream and gain a real‑world testbed for further AI development, while also expanding its geographic footprint beyond its traditional F&B software market.
The share issuance of USD 1.8 million may dilute existing shareholders, but Sagtec’s management has emphasized that the long‑term value creation from the restaurant operations and technology integration outweighs short‑term dilution concerns. CEO Kevin Ng has highlighted the company’s focus on AI partnerships and the transition to a scalable AI SaaS revenue platform as key drivers of future growth.
No immediate market reaction data or analyst commentary was available at the time of the announcement, so the article does not include such information.
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