Felda does not intend to maintain FGV's listing status
The Federal Land Development Authority (Felda) does not intend to maintain the listing status of FGV Holdings Bhd on the Main Market of Bursa Malaysia upon mandatory takeover offer.
In a press release issued by Maybank Investment Bank Bhd (Maybank IB) on behalf of Felda, it said in the event Felda receives valid acceptances resulting in Felda and its associates holding in aggregate 90 percent or more of FGV shares, an immediate announcement will be made by FGV.
Upon such announcement, Bursa Securities will...
The Federal Land Development Authority (Felda) does not intend to maintain the listing status of FGV Holdings Bhd on the Main Market of Bursa Malaysia upon mandatory takeover offer.
In a press release issued by Maybank Investment Bank Bhd (Maybank IB) on behalf of Felda, it said in the event Felda receives valid acceptances resulting in Felda and its associates holding in aggregate 90 percent or more of FGV shares, an immediate announcement will be made by FGV.
Upon such announcement, Bursa Securities will suspend the trading of FGV shares immediately upon expiry of five market days from the closing date.
Thereafter, Felda will submit a request to FGV to take the necessary procedures to withdraw its listing status from the Official List in accordance with Chapter 16 of the Listing Requirements.
"Bursa Securities may in its discretion impose additional conditions for the withdrawal of FGV's listing status from the Official List.
"If the delisting of FGV from the Official List is successful, FGV shares will no longer be quoted and traded on the Main Market of Bursa Securities," it said.
Maybank IB said Felda confirmed it has sufficient financial resources to satisfy full acceptance of the offer.
Felda also confirmed that the offer will not fail due to insufficient financial capability and that every holder who wishes to accept the offer will be paid in full by cash.
On Dec 8, 2020, Felda entered into two conditional share purchase agreements (CSPAs) with vendors - Kumpulan Wang Persaraan (Diperbadankan) (KWAP) and Urusharta Jamaah Sdn Bhd to purchase a total equity interest of 13.88 percent representing 506.19 million shares for a total cash consideration of RM658.04 million or RM1.30 per FGV share.
Upon completion of the acquisition, the collective shareholding of Felda and persons acting in concert with it in FGV will increase to 50.49 percent from 36.61 percent previously.
Accordingly, pursuant to Section 218(2) of the Capital Markets and Services Act 2007 and Paragraph 4.01(a) of the Rules on Take-overs, Mergers, and Compulsory Acquisitions, Felda is obliged to extend an unconditional mandatory takeover offer to acquire all remaining FGV shares.
- Bernama
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