PETALING JAYA: The share price of Kumpulan Hartanah Selangor Bhd (KHSB) and its largest shareholder Kumpulan Perangsang Selangor Bhd (KPS) both rose to multiple-month highs yesterday, following a report in The Edge weekly that KPS could privatise KHSB as part of a restructuring exercise.
KHSB’s stock rose by 13.5 sen or 37% to 50 sen yesterday, closing at its highest level in almost a year.
The property company’s stock was the most actively traded stock on Bursa Malaysia yesterday with close to 107 million shares transacted.
Its parent, KPS, shot up by 13 sen or 12.4% to close yesterday at RM1.18 per share, which is the highest level since end-May last year.
According to The Edge report, Amin Lin Abdullah, KPS’ head of public relations and media said the group is always looking at ways to enhance its investment value, and privatisation of its listed entity KHSB may just be one.
“As an investment holding company, KPS is always looking at all available ways and means to enhance the value of all its investments, regardless of whether it involves restructuring, reorganisation, mergers, acquisitions, privatisation and so on,” he stated in an email reply to questions from The Edge last week.
Market observers pointed out that by consolidating KHSB and KPS under one entity, investors would get a better value proposition to invest in, as both companies are linked to the investment arm of the Selangor government, Kumpulan Darul Ehsan Bhd (KDEB). It was reported that KDEB has given KPS the mandate to look into restructuring its investment holdings in both companies.
KDEB owns 60.57% of KPS, while the latter owns 56.57% of KHSB.
KDEB, as the Selangor government investment arm, operates in several industries such as property development, hospitality, waste management and utilities in the state through KPS and KHSB.
As at Sept 30, 2011, KHSB’s net assets per share stood at about 80 sen, while KPS has net assets per share of RM2.33.
For its nine months ended September last year, KPS posted a net profit of RM78.31 million on the back of RM305.09 million in revenue.
For its nine months ended September last year, KHSB suffered a net loss of 31.06 million from RM96.81 million in sales.
This article appeared in The Edge Financial Daily, January 10, 2012.
KHSB’s stock rose by 13.5 sen or 37% to 50 sen yesterday, closing at its highest level in almost a year.
The property company’s stock was the most actively traded stock on Bursa Malaysia yesterday with close to 107 million shares transacted.
Its parent, KPS, shot up by 13 sen or 12.4% to close yesterday at RM1.18 per share, which is the highest level since end-May last year.
According to The Edge report, Amin Lin Abdullah, KPS’ head of public relations and media said the group is always looking at ways to enhance its investment value, and privatisation of its listed entity KHSB may just be one.
“As an investment holding company, KPS is always looking at all available ways and means to enhance the value of all its investments, regardless of whether it involves restructuring, reorganisation, mergers, acquisitions, privatisation and so on,” he stated in an email reply to questions from The Edge last week.
Market observers pointed out that by consolidating KHSB and KPS under one entity, investors would get a better value proposition to invest in, as both companies are linked to the investment arm of the Selangor government, Kumpulan Darul Ehsan Bhd (KDEB). It was reported that KDEB has given KPS the mandate to look into restructuring its investment holdings in both companies.
KDEB owns 60.57% of KPS, while the latter owns 56.57% of KHSB.
KDEB, as the Selangor government investment arm, operates in several industries such as property development, hospitality, waste management and utilities in the state through KPS and KHSB.
As at Sept 30, 2011, KHSB’s net assets per share stood at about 80 sen, while KPS has net assets per share of RM2.33.
For its nine months ended September last year, KPS posted a net profit of RM78.31 million on the back of RM305.09 million in revenue.
For its nine months ended September last year, KHSB suffered a net loss of 31.06 million from RM96.81 million in sales.
This article appeared in The Edge Financial Daily, January 10, 2012.
