Felda launches RM1.30-a-share takeover offer for FGV, eyes full control
KUALA LUMPUR: The Federal Land Development Authority (Felda) has launched an unconditional voluntary takeover offer to acquire all remaining shares in FGV Holdings Bhd that it does not already own, as it seeks to regain full control of the plantation company.
The offer, made through Maybank Investment Bank Bhd, is priced at RM1.30 per share in cash, the bank said on behalf of Felda in a statement issued to FGV's board.
As at May 20, the latest practicable date prior to the notice, Felda directly owns 2.54 billion FGV shares, representing 69.50 per cent of the company's issued share capital.
Felda is also acting in concert with Felda Asset Holdings Company Sdn Bhd, its wholly-owned subsidiary, among other parties.
Together, Felda and its persons acting in concert collectively hold 86.93 per cent of the voting shares in FGV.
The move marks Felda's second major attempt to take FGV private after a similar offer in 2020, also at RM1.30 per share, did not result in full control.
FGV's issued share capital currently amounts to RM7.03 billion, comprising 3.65 billion ordinary shares and one special share held by the Minister of Finance Incorporated.
"The offer complies with the Capital Markets and Services Act 2007 and the Rules on Take-overs, Mergers and Compulsory Acquisitions issued by the Securities Commission Malaysia," Maybank Investment bank said.
Earlier, FGV announced that trading in its shares would be suspended all day today, pending a major announcement.
FGV's last traded share price was RM1.28, valuing the company at RM4.7 billion.
The stock has traded between RM1.17 and RM2.09 since the first privatisation attempt was announced on Dec 8, 2020.
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