Medtecs, Mytrex to explore co-locating factories in tandem

Singapore

MEDTECS International Corporation on Monday said it has tied up with existing supplier Mytrex Health Technologies to explore opportunities to co-locate production plants in Taiwan, the Philippines, the US and other regions.

This is to facilitate the vertical integration of personal protective equipment (PPE) production operations to ensure product quality and minimise supply chain disruption, PPE maker Medtecs said in a bourse filing.

Medtecs and Taiwan-listed Mytrex will also leverage each other's strengths and capabilities in the PPE supply chain to explore strategic partnerships to expand their presence in the international market.

Both parties entered into a partnership and cooperation on Dec 7. Medtecs said the agreement is in line with various government policies of localising supply chains to facilitate the indigenous production of PPE to swiftly cater to demand in their respective markets.

Mytrex will co-locate its production lines to Medtecs' production facilities in the Philippines. They also inked a supply agreement for Mytrex to supply face mask filters to Medtecs for 12 months.

Medtecs said the agreement is not expected to have any material impact on the group's consolidated earnings per share and/or net tangible assets per share for the financial year ending Dec 31, 2020.

Medtecs shares fell two cents or 2.2 per cent to 90.5 Singapore cents on Monday.