Magna Prima Bhd said its largest shareholders, Datuk Seri Wong Sze Chien and managing director Seah Ley Hong, have completed their unconditional mandatory takeover offer for the company, bringing their total shareholding to 54.96%.
According to a press statement issued by AmInvestment Bank Bhd on behalf of the offerors, the duo — through their jointly controlled investment vehicle, Hallson Holdings Sdn Bhd — received valid acceptances for 76.78 million shares, representing a 19.23% stake in Magna Prima, by the close of the offer on Thursday.
Prior to the offer, Hallson already owned 35.73% or 142.61 million shares in the construction and property development group. With the additional acceptances, their collective shareholding now stands at 219.39 million shares, or 54.96% of the company’s total issued share capital.
The takeover offer, first announced in September after Hallson’s stake rose above the 33% threshold, was extended once to Nov 6 from its initial closing date of Oct 30. It became unconditional last month after the offerors secured more than 50% of the company’s voting shares.
The offer price was not specified in Thursday’s statement, but earlier filings showed the acquisition that triggered the offer — a 5.66% block from Prisma Pelangi Sdn Bhd — was valued at RM16.5 million, or 72 sen per share.
Despite completing the takeover, Wong and Seah said they intend to maintain Magna Prima’s listing on the Main Market of Bursa Malaysia.
The valid acceptances received represent about 29.9% of the 256.55 million shares that the offerors did not own at the time the offer was made — well below the 90% threshold required for a potential delisting or compulsory acquisition.
Independent adviser UOB Kay Hian (M) Sdn Bhd, in its evaluation of the offer, deemed it “unfair but reasonable”, noting that the offer price represented a discount to Magna Prima’s unaudited net asset value but still provided shareholders with an opportunity to realise their investment in cash at a premium to recent market prices.
The takeover bid followed Hallson’s acquisition of the 5.66% stake from Prisma Pelangi, which increased its total shareholding to 35.73% and automatically triggered the mandatory general offer under Bursa Malaysia’s takeover rules.
Magna Prima, founded in 1995, is best known for its property development projects in the Klang Valley, including The Avare in Kuala Lumpur City Centre and Boulevard Business Park along Jalan Kuching.
At Thursday’s market close, Magna Prima shares were unchanged at 72 sen, giving the group a market capitalisation of RM289.04 million. The stock has gained more than 15% over the past three months.
