Etika Group plans to acquire Advend Systems, a leading vending machine operator in Singapore and Malaysia, to enhance its market presence and become the largest vending machine operator in the region.

Target Information

Advend Systems, a leading vending machine operator based in Singapore, is set to be acquired by Etika Group, a well-established Malaysian beverage distributor affiliated with the Japanese conglomerate Asahi Group. This acquisition includes Advend's operations in both Malaysia and Singapore, operating under the brand name Atlas Vending. According to a recent announcement, the deal is anticipated to finalize in the first quarter of 2020.

While previous reports speculated the valuation of the deal was around S$67 million, an insider suggested this figure might be underestimated. It is noted that Advend's vending operations are larger than those of Etika, highlighting the strategic significance of this acquisition in the vending industry within the region.

Industry Overview in Singapore and Malaysia

The vending machine industry in Singapore and Malaysia has demonstrated robust growth due to increasing urbanization and changing consumer preferences. The proliferation of vending machine options, from traditio