Quick Takeaways
- Nationgate strengthens its automotive electronics manufacturing footprint through a full acquisition of Valeo’s Malaysian CDA operations.
- The deal expands EMS capabilities in automotive components, PCB assemblies, and integrated modules while maintaining a debt-free structure.
On January 2, 2026, Nationgate Holdings Berhad disclosed additional information regarding its MYR 60.89 million cash acquisition of Valeo Malaysia CDA Sdn Bhd, a transaction that was finalized on December 31, 2025, through its indirect wholly owned subsidiary, Nationgate System Sdn Bhd. The announcement highlights a strategic step aimed at strengthening Nationgate’s position in the automotive electronics manufacturing services segment.
Nationgate Acquires Valeo Malaysia CDA in Full Ownership Deal
Under the transaction, Nationgate acquired 168.2 million ordinary shares, securing 100% ownership of Valeo Malaysia CDA Sdn Bhd. The acquisition was financed entirely through internally generated funds, reflecting the group’s strong balance sheet and disciplined capital allocation approach. This structure allows Nationgate to expand without increasing external debt exposure.
Automotive Manufacturing Capabilities and Operations
Valeo Malaysia CDA Sdn Bhd is engaged in the manufacturing of plastic injection-molded components, printed circuit board assemblies, and fully assembled modules, primarily serving automotive customers. Its production operations are housed within two adjacent leasehold industrial facilities located in Perai, Penang, providing an established manufacturing base with room for operational efficiency.
Key manufacturing strengths include:
Strategic Rationale Behind the Acquisition
Nationgate stated that the acquisition aligns closely with its long-term growth strategy, particularly in scaling its electronics manufacturing services business. By integrating Valeo Malaysia CDA, the group aims to broaden its automotive customer portfolio while unlocking operational synergies across manufacturing, procurement, and engineering functions.
The company expects the transaction to enhance operational efficiency and deliver a positive contribution to long-term performance, reinforcing Nationgate’s ambition to deepen its footprint in the automotive electronics value chain and support future growth opportunities in mobility-related technologies.
Nationgate Acquires Valeo Malaysia CDA in Full Ownership Deal
Under the transaction, Nationgate acquired 168.2 million ordinary shares, securing 100% ownership of Valeo Malaysia CDA Sdn Bhd. The acquisition was financed entirely through internally generated funds, reflecting the group’s strong balance sheet and disciplined capital allocation approach. This structure allows Nationgate to expand without increasing external debt exposure.
Automotive Manufacturing Capabilities and Operations
Valeo Malaysia CDA Sdn Bhd is engaged in the manufacturing of plastic injection-molded components, printed circuit board assemblies, and fully assembled modules, primarily serving automotive customers. Its production operations are housed within two adjacent leasehold industrial facilities located in Perai, Penang, providing an established manufacturing base with room for operational efficiency.
Key manufacturing strengths include:
- Plastic injection-molded automotive components
- Printed circuit board assemblies for vehicle systems
- Integrated module assembly for automotive applications
Strategic Rationale Behind the Acquisition
Nationgate stated that the acquisition aligns closely with its long-term growth strategy, particularly in scaling its electronics manufacturing services business. By integrating Valeo Malaysia CDA, the group aims to broaden its automotive customer portfolio while unlocking operational synergies across manufacturing, procurement, and engineering functions.
The company expects the transaction to enhance operational efficiency and deliver a positive contribution to long-term performance, reinforcing Nationgate’s ambition to deepen its footprint in the automotive electronics value chain and support future growth opportunities in mobility-related technologies.
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