SHARES of Rex International were up on Tuesday after the group said it would invest up to US$4 million in a commercial drone company.
As at 9.02am, the counter gained one Singapore cent or 5 per cent to hit its intraday peak of 21 cents amid heavy trading, with some 9.1 million shares changing hands.
As at 10.08am, the counter has seen 16 million shares worth S$3.2 million traded.
There were no married deals recorded, according to Shareinvestor data.
The oil and gas company said on Tuesday morning its investment comprises US$1 million for a 40 per cent interest in Singapore-incorporated drone company Xer Technologies. It also involves a commitment to inject up to US$3 million in the company, subject to the achievement of certain technical and sales milestones within the next 18 months.
The acquisition is part of Rex International's efforts to diversify from its core business of oil exploration and production, and will "bring the group a step closer towards its approved business diversification mandate to include sustainable solutions for energy production and materials used in various industries", the group said.
Shares of Rex International closed flat at S$0.20 on Tuesday.