Nanyang Press Holdings Berhad has announced that it had sought a four-month extension to comply with the 25 percent public shareholding spread requirement, the original deadline for which is on Friday.

The Kuala Lumpur Stock Exchange (KLSE) has yet to make a decision on the request by the company which was taken over by the MCA last year in a move which spilt the party into two camps.

In a general announcement dated Feb 11, Nanyang gave no reason given as to why it wanted a four-month extension.

KLSE authorities were not available for comment when contacted by malaysiakini .

Nanyang shares have been suspended from trading following the company's takeover on Aug 21 last year by Huaren Management Sdn Bhd, the investment arm of the MCA. Huaren holds a 90 percent equity in Nanyang.

Under KLSE listing requirements, Nanyang was granted a period of six months expiring Feb 22 to comply with the 25 percent public shareholders rule. Failure to comply would mean being de-listed from the exchange.

This request for more time by Huaren has fueled market speculation that Huaren is still unable to find a suitable player to take up a major portion of its Nanyang shares.

Rival newspaper Sin Chew Jit Poh 's boss Tiong Hiew King is rumoured to be interested but there is fear that this would sparked another round of protest from the Chinese community which is worry that the timber tycoon would eventually controlled the country's four major Chinese-language dailies.

Two dailies

Contacted by malaysiakini , the Committee Against the Takeover of Nanyang Press (CAT) chairperson Tang Ah Chai urged the KLSE to reject Nanyang's application for the time extension.

He reiterated that CAT opposed the takeover of Nanyang by a political party and urged Huaren to dispose all its interests in the company which publishes two Chinese dailies - the Nanyang Siang Pau and the China Press .

Huaren gained control of Nanyang last year after its major shareholder, Hume Industries (Malaysia) Bhd, and its wholly-owned subsidiary, Hume Plastic Sdn Bhd, accepted an offer made by Huaren.