Q&M Dental subsidiaries propose entering JV to offer laboratory services
The proposed JV will be 49 per cent owned by Q&M Dental (Shenyang) and 51 per cent owned by Singapore Dental Cadcam Laboratory
[SINGAPORE] Two subsidiaries of Q&M Dental are looking to enter a joint venture (JV) to offer lab services, said Aoxin Q&M Dental on Friday (Sep 12).
The Catalist-listed group said that its wholly owned subsidiary, Q&M Dental (Shenyang), entered a memorandum of understanding (MOU) with Singapore Dental Cadcam Laboratory (SDCL) on Sep 11.
SDCL is a wholly owned subsidiary of Q&M Dental, the parent and controlling shareholder of Aoxin Q&M Dental. Q&M Dental held a 50.5 per cent stake in Aoxin Q&M Dental as at May 2025.
The MOU relates to the formation of a JV to provide laboratory services including processing of porcelain crown, bridges and dentures, and development of dental inlay technology, said Aoxin Q&M Dental.
Under the proposed JV, Q&M Dental (Shenyang) will own a 49 per cent stake and SDCL will hold 51 per cent.
The parties are discussing terms of the proposed JV and have agreed to enter a definitive agreement within a period of six months starting from Sep 11 or any other agreed date, said Aoxin Q&M Dental.
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The proposed JV will operate through Dental Excellence Digital Services Centre, which was incorporated on Aug 4, Aoxin Q&M Dental said.
The JV company will have an issued and paid-up share capital of S$100, comprising 100 ordinary shares.
Its incorporation is funded through internal resources and is not expected to have material impact on Aoxin Q&M Dental’s net tangible assets and earnings per share for the current financial year ending Dec 31, 2025, the company said.
It also said that there is no certainty or assurance that the proposed JV will be completed.
The proposed JV is deemed to be an interested person transaction, Aoxin Q&M Dental said. This comes as several of its directors hold positions in other parties involved in or associated with the JV.
Dr Ng Chin Siau, a non-executive non-independent director of the company, is also a director at its unit Q&M Dental (Shenyang). He holds a 53.2 per cent deemed interest in Aoxin Q&M Dental’s total issued share capital and is the chief executive officer and a non-independent executive director at its parent, Q&M Dental.
His sister Ng Sook Hwa is a non-executive non-independent director of Aoxin Q&M Dental and chief financial officer of Q&M Dental. Meanwhile, Professor Chew Chong Yin is an independent non-executive director at both companies.
Dr Ng, his sister and Prof Chew will not be involved in any decision made by the board of Aoxin Q&M Dental in relation to the proposed JV.
Shares of Q&M Dental finished Friday 3.2 per cent or S$0.015 higher at S$0.49; shares of Aoxin Q&M ended Friday flat at S$0.063, before the news.
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