MCA-run cooperative did not buy Nanyang shares, says chairperson

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MCA-run cooperative Kojadi today denied that it had purchased any Nanyang Press Holdings shares from the party's investment arm Huaren Management.

In an e-mail to malaysiakini , Kooperasi Jayadiri Malaysia (Kojadi) chairperson Francis Huang said that the cooperative was not involved in any share purchases.

"We must emphatically point out that Kojadi has not purchased any Nanyang shares as reported in your article," said Huang.

Kojadi is an education loan scheme set up in early 1980s to help needy students to pursue higher education.

Malaysiakini yesterday reported that Huaren disposed of 17.59 percent of its stake in Nanyang Press, the publisher of major Chinese dailies Nanyang Siang Pau and China Press , to an undisclosed party to comply with stockmarket trading rules.

The sale which lowered Huaren's stake to 69.53 percent will enable the publishing company's shares to resume trading in the Kuala Lumpur Stock Exchange (KLSE).

Under KLSE's rules, Huaren should hold no more than 75 percent of Nanyang shares or risk being de-listed. It was given a Feb 20 deadline but Huaren had asked for a four-month extension.

Trading suspended

Nanyang Press has been suspended from KLSE at RM5.50 per share since Aug 20 last year after Huaren made a mandatory general offer which resulted in Chinese-based party's investment arm owning over 92 percent of Nanyang shares.

Sources told malaysiakini yesterday that the 17 percent shares were bought by companies controlled indirectly by MCA through its proxies such as Kojadi and Kooperasi SerbaGuna Malaysia (KSM).

The controversial Nanyang takeover by the political party has been widely criticised due to fears that it could adversely affect editorial independence.



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