SETO News: Cuys CTI Communications
SETO Holdings Acquires CTI Communications
Kuala Lumpur, Malaysia
BRIARCLIFF MANOR, N.Y.--(BUSINESS WIRE)--March 13, 2000--SETO Holdings, Inc. (OTC BB: SETO -
news) announced today the 100% acquisition of CTI Communications Sdn Bhd based in Kuala Lumpur Malaysia.
CTI Communications is one of the fastest growing retail chain stores and franchiser throughout Malaysia. CTI has been in
business four years selling through company owned retail outlets. The products include cellular phones, batteries and
accessories with brand names, such as, NOKIA, MOTOROLA, ERICSSON, NEC, PHILIPS, SEIMENS, ALCATEL,
SONY, and SAGEM. CTI also manufactures a complete line of leather and vinyl phone cases and designs all CTI's
packaging.
In addition, Terry Teow Wooi Huat, Managing Director and founding owner of CTI recently expanded the retail
operations with the formation of the franchising division, ``CTI Mobile World Sdn Bhd.' CTI Mobil World in operation
since Feb. 14, 2000 already has 14 franchises in full operation, with 20 more signed up that will be operational by the end
of April 2000. The target for this year ending Jan. 31, 2001 is 100 franchises. Additional expansion into other SE Asian
countries, N and S America, and Europe is being planned for next year, as SETO Mobil World Franchise, said Gene Pian,
SETO's President.
The company reported sales for 1999 of $4.5 million with a net profit of $600,000 (without any Franchises). Forecast for
the year ending Jan. 31, 2001 is $13.2 million in sales with a net profit of $1 million. Net worth is $660,000. The purchase
price was 658,000 restricted SETO shares for 100% of CTI Communications Sdn Bhd (Corporate and Retail), CTI
Mobile World Sdn Bhd (Franchises) and GL Collection (M) Sdn Bhd (leather and vinyl case manufacturing.) Additionally,
CTI has guaranteed it's current forecast of $1 million for year ending Jan. 31, 2001. As added incentive, 500,000 SETO
restricted shares will be awarded if actual net profit exceeds $1.7M.
Mr. Pian also said, `` We have known and respected Terry Teow Wooi Huat's business abilities for a number of years as
a customer of FujiFab and close associate of Tan Hun Chin, a director of SETO and previous owner of FujiFab. We
thereby realized that SETO has many growth potentials with CTI for worldwide expansion in franchising for the cellular
phone products and accessories, and by adding SETO telecommunication products, that were recently announced on
March 6, 2000 and in prototype testing. SETO now has a complete cellular product line for retail, franchising, distribution
and Internet e-commerce selling with telecommunication products not far behind.' SEE www.cticomm.com.my
SETO HOLDINGS, Inc., formerly Semicon Tools Inc. has been a public Company since 1987 and operates as a broad
based technical manufacturer in two major product groupings: Technical products to industry: diamond tools, wafer fab
supplies and technical ceramics. Consumer products: cellular phone and power tool batteries, accessories and electronics.
``Safe Harbor' statement under the Private securities Litigation Reform Act of 1995 Statements contained in this release
which are not historical facts are forward looking statements that involve risks and uncertainties that could cause actual
results to differ from projected results. Factors that could cause actual results to differ materially include, among others,
economic and political events in or effecting Malaysia, the Company's dependence on the semiconductor industry and
other risk factors detailed in the Company's Securities and Exchange Commission filings. |
