By BUSINESS TIMES
The offerors, which plan to buy the remaining 25.15 per cent stake they do not yet own for RM1.55 a share, do not intend to maintain the listing status of Johor Land
JOHOR Corp Bhd, along with Damansara Assets Sdn Bhd, its joint-offeror, plans to take Johor Land Bhd (6564) private for RM90 million cash.
The offerors plan to buy the remaining 58.1 million shares, or 25.15 per cent stake they do not yet own in Johor Land, for RM1.55 a share, representing a 9 per cent premium against yesterday’s closing price.
“The joint offerors do not intend to maintain the listing status of Johor Land,” Johor Land told Bursa Malaysia yesterday.
As at March 31 2009, Johor Corp, a company with investments in the healthcare, property development and plantation sector, owned 74.85 per cent of the property developer.
Its joint-offeror Damansara Assets – a company that has businesses like quarry operations, property management services, real-estate investment management and cleaning services – does not own any stake in Johor Land.
The proposed privatisation is still pending approval from the Securities Commission and the Ministry of Finance.
Johor Land’s earnings almost tripled to RM19.18 million in 2008. However, its share price in 2008 fell by 45 per cent from RM1.28 a share early last year to 70.5 sen a share at the end of 2008.
The company’s share price has regained strength this year, more than doubling to RM1.42 share.
Johor Land was listed on the main board of Bursa Malaysia since 1996