KUALA LUMPUR (Nov 20): Green Packet Bhd said it is not proceeding with its proposed disposal of its entire 100% stake in Oasis Capital Investment Bank Ltd (OCIB) after the investment bank failed to obtain the required approval from the Labuan Financial Services Authority (LFSA).

The group said it has received a notice from the purchaser, WKJ Capital Equity Sdn Bhd, to terminate the sale agreement as OCIB was unable to obtain LFSA's approval for the change of shareholder within the stipulated time frame.

“The notice of termination of the disposal of the sale shares will not have any impact on the company’s earnings and the net assets or gearing of the company for the financial year ending March 31, 2024," Green Packet told Bursa Malaysia on Monday.

The plan to dispose of its investment banking business in Labuan to WKJ Capital Equity for RM23 million cash was announced by Green Packet in March.

The group had said the proposal provided a timely opportunity for the group to immediately unlock and realise the value of the investment and assets in OCIB.

Shares in Green Packet finished unchanged at 4.5 sen, giving the group a market capitalisation of RM81.1 million.

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