YY Group acquires 95% stake in Singapore distributor

SINGAPORE, Aug. 4, 2026 /PRNewswire/ -- YY Group Holding Limited (NASDAQ: YYGH) ("YY Group" or the "Company"), an AI-enabled workforce management platform and integrated facility management (IFM) provider operating across Asia and beyond, today announced that it has completed the acquisition of a 95% interest in Xtreme Solutions Pte. Ltd., an established Singapore-incorporated distributor (the "Target") for a total consideration of 4.5 million Singapore Dollars ("S$") (approximately US$3.5 million), payable through a combination of S$0.9 million in cash and Class A ordinary shares of the Company with an aggregate value of S$3.6 million, which will be subject to a 12-month lock-up period (the "Acquisition").

Based on unaudited and unreviewed financial statements prepared in accordance with Singapore Financial Reporting Standards ("SFRS"), the Target generated revenue of approximately S$6.0 million (approximately US$4.7 million), with a net profit of approximately S$600,000 (approximately US$0.47 million) in its financial year ended March 31, 2026. The Acquisition is expected to be accretive to the Company's revenue and net profit in the first full quarter following completion.

YY Group believes the Target has grown into an established and profitable Singapore-incorporated distribution business, primarily through traditional sales channels and word-of-mouth referrals, while its digital sales channel remains underdeveloped and represents a significant growth opportunity. YY Group, through its digital marketing and technology subsidiary, MediaPlus Venture Group Pte. Ltd., expects to bring capabilities that the Target has not previously had access to: e-commerce and web development, digital marketing, and performance analytics. YY Group intends to modernize the Target's digital storefront, inventory visibility, and customer acquisition channels, boosting the visibility and efficiency of a business already operating profitably. Additionally, the Target's operational footprint is expected to provide a new, captive deployment environment for YY Group's core YY Circle manpower outsourcing services, by creating ongoing demand for manpower to support the Target's operations.

YY Group also plans to expand the Target's business into overseas markets where YY Group already has an operating presence. YY Group intends to promote the Target's products through the YY Circle platform, which has more than 500,000 members, creating additional cross-selling, customer acquisition, and regional distribution opportunities across YY Group's ecosystem.

"Our approach to acquisition is straightforward: look for profitable, well-run businesses where we can add value without diverting attention from our core platform," said Mike Fu, Chief Executive Officer of YY Group. "The Target fits that profile exactly: a strong operator with a loyal customer base that will generate cash immediately while offering an opportunity for digitalization-driven growth. We will continue to selectively pursue acquisitions of established, profitable businesses, apply our technology and marketing infrastructure, and grow revenue without disrupting what already works."

The Target's existing management team will continue to lead the business under a service agreement, preserving supplier relationships, product expertise, and customer trust built over its operating history. The Target will retain its current brand and store presence.