Multistack International Limited (ASX:MSI) has announced an agreement in principle for Super Link Company Limited to acquire all of its assets and liabilities. Multistack International operates primarily through Multistack Australia Pty Ltd, marketing industrial air conditioning equipment, distributing water-cooled and air-cooled water chillers, marketing organic Rankine cycle technologies, and distributing heat exchangers. The decision comes after a review of the company’s commercial viability, with directors concluding that the current business is loss-making and requires capital injection beyond the company’s means.
Given Multistack’s financial challenges and its existing commercial relationship with Super Link as a key component supplier, the Board identified Super Link as the most logical acquirer. The proposed transaction involves Super Link acquiring all shares in Multistack Australia and other non-operating subsidiaries. Due to MSI’s liabilities exceeding its assets, the consideration is expected to be nominal, with Super Link forgiving existing loans to MSI and related entities.
Following the transaction, MSI anticipates a small net asset position represented by an agreed cash amount to cover statutory and ASX liabilities over the next 12 months. During this period, the MSI board will seek opportunities for a new business to incorporate into the entity. The transaction is subject to definitive documentation, shareholder approval, and an independent expert’s report to meet Corporations Act and ASX Listing Rule requirements.
The company will continue to operate prudently as a going concern and meet all ASX reporting obligations. The parties aim to complete the transaction by late October 2025, with a detailed timetable to be released upon execution of definitive agreements.
