KUALA LUMPUR (Feb 20): The major shareholders of Nilai Resources Group Bhd has proposed a selective capital repayment (SCR) of RM1.50 a share, which is a premium of 20 sen above the Feb 17 closing price of RM1.30.
The major shareholders are Akarmas Sdn Bhd and Tan Sri Dr Gan Kong Seng who collectively hold 62.937 million shares or 55.1% equity, who will not be entitled to the SCR.
“The number of Nilai Resources shares to be cancelled/ repaid pursuant to the proposed SCR amounts to 55.77 million Nilai Resources shares, which represents RM55.77 million of the issued and paid-up share capital of the company,” it said.
The company said during a board meeting Monday, in which the major shareholders including its executive chairman Tan Sri Dr Gan Kong Seng had abstained, they had agreed to table the proposed SCR to the shareholders.
Upon completion of the proposed SCR, the non-entitled shareholders will hold 62.93 million shares, representing the entire paid-up share capital. The proposed SCR will be funded by an advance from the non-entitled shareholders.
The non-entitled shareholders do not intend to maintain the listing status.
The rationale for the proposed SCR was that the group’s core businesses are property development, education and hotel and leisure businesses.
About 48% of the group revenue is derived from the property development segment and the group’s primary activity is the development of Nilai township, Negeri Sembilan, namely Putra Nilai. Putra Nilai is a new 6,233-acre township development from a PLANTATION [] land, which was without any infrastructure.
The major shareholders are Akarmas Sdn Bhd and Tan Sri Dr Gan Kong Seng who collectively hold 62.937 million shares or 55.1% equity, who will not be entitled to the SCR.
“The number of Nilai Resources shares to be cancelled/ repaid pursuant to the proposed SCR amounts to 55.77 million Nilai Resources shares, which represents RM55.77 million of the issued and paid-up share capital of the company,” it said.
The company said during a board meeting Monday, in which the major shareholders including its executive chairman Tan Sri Dr Gan Kong Seng had abstained, they had agreed to table the proposed SCR to the shareholders.
Upon completion of the proposed SCR, the non-entitled shareholders will hold 62.93 million shares, representing the entire paid-up share capital. The proposed SCR will be funded by an advance from the non-entitled shareholders.
The non-entitled shareholders do not intend to maintain the listing status.
The rationale for the proposed SCR was that the group’s core businesses are property development, education and hotel and leisure businesses.
About 48% of the group revenue is derived from the property development segment and the group’s primary activity is the development of Nilai township, Negeri Sembilan, namely Putra Nilai. Putra Nilai is a new 6,233-acre township development from a PLANTATION [] land, which was without any infrastructure.
