Felda buys another 5.15 million FGV shares in open market

Felda buys another 5.15 million FGV shares in open market

Transaction comes a day after purchase of 22 million shares, as takeover bid continues.

Felda is buying shares in the open market at a lower price than the RM1.30 premium it is offering all shareholders in its takeover bid.
KUALA LUMPUR:
The Federal Land Development Authority (Felda) has bought another 5.15 million shares in FGV Holdings Bhd from the open market in the quest to take over the plantation company.

This comes a day after it bought 22 million shares in the open market for the same price, paying a total of RM28.38 million for them.

In a filing with Bursa Malaysia today, FGV said the 5.15 million shares were bought at RM1.29 a piece, below the premium it is offering for all the FGV shares, Bernama reported.

On Jan 12, Felda issued an offer document in relation to its unconditional mandatory takeover offer for all remaining shares in FGV which it does not own, except treasury shares.

Its offer of RM1.30 per share will be open for acceptance until 5pm on Feb 2, unless extended or revised with an announcement to be made by Maybank IB two days prior to the closing date.

Felda launched its takeover offer after acquiring 222.48 million shares (a 6.1% stake) held by Retirement Fund (Incorporated) (KWAP) and 283.71 million shares (a 7.78% stake) held by Urusharta Jamaah Sdn Bhd for RM658 million.

The acquisitions raised Felda’s stake in FGV to 50.49%, triggering a mandatory takeover offer.

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