In the wake of confusion over the issuance of a sports betting licence to Ascot Sports, it is the shareholders of Berjaya Corporation who will see the light at the end of the tunnel.

NONE While the deal is still shrouded in much secrecy, it is understood that Ascot Sports, in which Berjaya Corporation's Vincent Tan ( right ) has a large stake, had way back in January received a letter of approval from the Finance Ministry.

A Berjaya Corporation spokesperson confirmed that an extraordinary general meeting would be called within six months from their announcement of intent to take over Ascot Sports.

"A circular will be given to the stakeholders when the EGM is called, with the terms and conditions of the sports betting licence stated," she said.

According to the Companies Act, the directors can call for an EGM at any time, but it must be convened within 21 days of being called.

At the same time, shareholders owning no less than 10 per cent of the paid-up capital of the company can also call for an EGM.

Agreement ‘not meant for public perusal'

BCorp in a May 12 statement informing Bursa Malaysia of its intent to take over Ascot Sports said the sale and purchase agreement (SPA) would be made available for inspection at the corporate office at Berjaya Times Square.

However, Malaysiakini was not given access to the SPA. The Berjaya spokesperson, who refused to be named, said the agreement could only be inspected by Bursa officials and that it was not meant for public perusal.

NONE Asked to allow us to view the letter of approval allegedly given by the government to Ascot Sports, Berjaya stonewalled.

"Just because we are a public-listed company, it does not mean that we can show you every single document. The letter of approval is private correspondence between the company and the government," said another Berjaya officer.

Government officials, meanwhile, kept a stony silence when asked about the deal.

Deputy Finance Minister Awang Adek Hussin refused to comment when approached by reporters at the Parliament lobby yesterday.

"I don't know about it. No comment. Ask (second deputy finance minister) Donald Lim," he said before escaping into the sanctuary of the MPs lounge.

Lim was quoted as saying that the federal government would make its final decision on the issue next week.

Analysts and industry insiders have previously said that the deal "stinks to high heavens" after an apparent flip-flop in the government decision to award the sports betting licence.

Licence previously awarded in 1987

Ascot Sports was awarded the licence before, back in 1987, but it did not prove to be a profitable business. The federal government under Abdullah Ahmad Badawi's administration then revoked the licence in 2004.

But the government under Najib Abdul Razak's helm reissued the licence to Ascot Sports early this year, after the company had invoked its "right at first refusal".

NONE The company had planned to offer sports betting services at selected Sports Toto outlets (also owned by Berjaya) in West Malaysia.

The deal was largely unknown until BCorp made the May 12 announcement to Bursa, raising the ire of Pakatan Rakyat politicians and several Muslim NGOs.

The three Pakatan governments of Penang, Kedah and Selangor have moved to ban sports betting in their states.

The Securities Commission and Bursa have also said that they would take "appropriate action should there be elements of misrepresentation with regard to Berjaya Corp Bhd's proposed acquisition of a 70 percent stake in Ascot Sports Sdn Bhd".