OSK (5053) OSK HOLDINGS BHD
OSK Holdings (OSKH) aims to become a stronger property player through the proposed acquisition of OSK Property Holdings and PJ Development Holdings for a combined RM584.7 million.
The deal involves the purchase of a 73.6 percent stake in OSK Property for RM355.8 million, or RM2 per share, and a 31.7 percent stake in PJ for RM229.4 million, or RM1.60 per share. Thereafter, OSHK will make a mandatory takeover for the remaining 26.4 percent stake in OSK Property, and similar voluntary offer for the balance of 68.3 percent stake in PJ.
The proposed acquisition will be satisfied entirely by the issuance of a total 292.3 million new shares in OSKH shares at an issue price of RM2 each. On the other hand, the takeover of the remaining shares could be satisfied through either cash or a share exchange.
Significance: Meanwhile, OSKH has also proposed a bonus issue of up to 237.7 million warrants to existing shareholders on the basis of one free warrant for every four existing shares held, as well as a special cash dividend of RM0.15 a share.
- Stocks In Focus MY, Shares Investment
