About Destini ... UMNO Linked.

It was given a new lease of life after it exited PN17 category in April 2013, has set its sights on the global lifeboat maintenance, repair and overhaul (MRO) market and also commercial aircraft safety equipment business to reduce its dependency on military related jobs.

The company is an aircraft safety equipment MRO company for the RMAF, which contributed the bulk of its revenue.

The company is eyeing some rm700 million worth of jobs in the global lifeboat MRO market over the next five years from 2013.

It diversified into the maritime business in Dec 2012 when it acquired Singapore based outfit for rm9.88 million in the manufacturer of lifeboats and lifeboat equipment.

The company is also in the midst of making a rm43 million acquisition of Techno Fibre Ltd which is also involved in the marine safety industry.

It was previously reliant on MRO contracts for aircraft, safety equipment from the RMAF, will focus its resources on expanding this new segment.

Currently (May 2013), 70% - 80% of the company’s revenue comes from its military contracts. Its current (May 2013) agreement with the government will run until Sept 2013 but confident of an extension. The current contract was for five years with an option to extend for three years and an additional two years.

The company is reducing the number of military related work it takes on but the contribution to revenue will drop as its other business segments grow.

It is slowly moving into MRO for commercial aircraft safety equipment. For now (May 2013), it has a few contracts with Airasia.

The company’s gearing is now zero. Its acquisitions were funded internally through rights issues and private placements of shares.

The company has set aside rm100 million for the expansion of its marine safety segment.

In Nov 2012, the company saw the emergence of BPH Capital Sdn Bhd as a new shareholder and new members on the board and audit committee. UMNO supreme council member Datuk Abdul Aziz Sheikh and ROzabil, an UMNO Youth treasurer, came on board as non executive directors, and Rozabil took over the management after he and Abdul Aziz bought a 26.4% controlling g block of shares.

Rozabli is the major shareholder of Destini with a 24.52% stake through BPH Capital which other shareholder is Abdul Aziz.