PETALING JAYA: UMW Holdings Bhd has extended its take over offer period for MBM Resources Bhd and Perusahaan Otomobil Kedua Sdn Bhd (Perodua) by another six months till October 31 from April 30.
This is despite MBM’s major shareholders Med-Bumikar Mara Sdn Bhd and Central Shore Sdn Bhd reiterating their rejection of the take over bid for RM501 million or RM2.56 per share as the deal is “not reasonable”.
“In light of developments to date, the company has extended the MBM offer and the Perodua offer respectively to October 31, 2018, to enable parties to deliberate on the offers,” UMW said in a filing with Bursa Malaysia, noting that the proposed acquisitions of MBM and Perodua are not conditional upon each other.
Med-Bumikar and Central Shore, which collectively own a 50.07% stake in MBM, are a major stumbling block to UMW’s plans to take the company private. Earlier this month, they warned against UMW engaging with MBM’s key principals, being brand owners of the distributorship marque.
However, it was reported that major shareholders of Med-Bumikar, including Majlis Amanah Raya (Mara), were keen to accept the offer.
UMW also made a conditional offer to PNB Equity Resource Corporation Sdn Bhd (PERC) for its 10% equity interest in Perodua at RM417.5 million or RM29.80 per share. PERC has yet to respond to the offer.
UWM’s share price rose 1.3% to close at RM6.15, while MBM fell 1.6% to RM2.39.
Source: The Sun Daily