PETALING JAYA: Suiwah Corp Bhd’s share price rose 22.48% this morning after its major shareholder Suiwah Holdings Sdn Bhd intends to privatise the group by way of a selective capital reduction (SCR) and repayment exercise.
At 10.59am, Suiwah was trading at RM2.67 with 23,600 shares changing hands.
The proposed SCR entails a capital repayment which is equivalent to a cash amount of RM2.80 per ordinary share each in Suiwah held by the entitled shareholders on an entitlement date to be determined later.
The offer price represents a premium of 28.44% against its five-day volume weighted average price of RM2.18.
Suiwah founder and managing director Datuk Hwang Thean Long, the ultimate offeror for the exercise, together with the parties acting in concert, collectively hold a 30.91% stake in the group.
Source: The Sun Daily