SINGAPORE – DBS Bank announced on Tuesday (11 July) that it has entered into an agreement to sell a 77.8 per cent stake in AXS, a solutions provider and operator of an Electronic Service Delivery Network (ESDN) to private equity firm Tower Capital Asia in August.
After the transaction is closed, DBS will continue to retain a minority stake of 9.9 per cent in AXS, the bank said.
Incorporated in 2000 to establish an ESDN in Singapore, AXS became a DBS subsidiary in 2006.
Since then, AXS has expanded its digital payments and collections network through its more than 660 AXS Stations across Singapore, as well as a suite of online and mobile services.
Tower Capital Asia has indicated that there are no immediate plans to implement any material changes to AXS' operations, and customers can continue to enjoy the services AXS currently avails, DBS said in its statement.
The transaction is not expected to have any material impact on the earnings or net tangible asset of DBS Group Holdings Ltd. for the financial year ending 31 December 2023.
DBS, headquartered and listed in Singapore, is a leading financial services group in Asia with a presence in 19 markets.