In a statement today, TCB said the proposed acquisition will be satisfied via the issuance of new redeemable convertible preference shares (RCPS).

“Out of the total purchase consideration, RM343.7 million will be satisfied via the issuance of 286.5 million new RCPS in TCB at an issue price of RM1.20.

“Another RM1.51 billion for debt settlement will be satisfied via RM247.1 million cash, issuance of 823.7 million RCPS at an issue price of RM1.20 and assumption of Tan’s bank borrowings amounting to RM271.8 million,” it said.

TCB said the proposed acquisition is expected to facilitate the continuing growth of the group’s core business as a property developer by increasing its existing land bank.

It said the land bank from the companies, located in the Klang Valley and Johor, totalled 45ha with the potential gross development value (GDV) of RM24.82 billion.

The group has also signed a memorandum of understanding to negotiate the terms of the proposed collaborations with Cenang Resort Sdn Bhd, Sinaran Ramah Sdn Bhd, Pantai Kok Resort Development Sdn Bhd, Suci Padu Sdn Bhd and Ibarat Indah Sdn Bhd.

TCB also announced the redesignation of Lim Wee Chai from non-executive deputy chairman to non-executive chairman of the group, while Tan, the company’s founder, returns as executive vice chairman.

Meanwhile, Tan said that through the corporate exercises, TCB had added strategic land bank into the group, bringing the total to 908.09ha with a combined GDV potential of RM71.42 billion.

“Through the proposed collaborations, TCB has access to a further 537.73ha with a GDV of RM6.76 billion. Thus, January 2019 will be the right time for me to return and pursue a full-time role,” he added.