KUALA LUMPUR: After nearly a month, Lembaga Tabung Angkatan Tentera (LTAT) says there is no development on a possible privatisation of the loss-making BOUSTEAD HOLDINGS BHD.
In a statement issued on Friday it said since the press notice on the proposal dated May 28, “there has been no material development” of the proposal.
LTAT, which holds a 59% stake in Boustead, had then stated it was considering a proposal to privatise the company at 80 sen a share.
At 4.32pm, the share price was up 0.5 sen to 63 sen.
The armed forces fund board also reiterated the proposal was subject, to amongst others, the finalisation of the structure of the proposal, the funding and required regulatory approval.
It said the notification does not amount to a firm intention that it would undertake the proposal.
“Accordingly, there can be no certainty that we will proceed with the proposal,” LTAT said.
In the first quarter ended March 31, 2020, its losses widened compared to the same period a year ago as the group took a beating from the coronavirus (Covid-19) pandemic.
It posted a loss of RM73.1mil for the first quarter ended March 31, compared with the RM22.4mil loss a year earlier. Its revenue fell by 10% to RM2.26bil from RM2.51bil previously.
Boustead said its hotels, heavy industries, properties and petrol stations businesses were hit from the movement control order (MCO) as business and household activity froze from the measures to contain the spread of Covid-19.
KUALA LUMPUR (June 26): The Armed Forces Fund Board (LTAT) said there has been no material development with regards to the possible privatisation of Boustead Holdings Bhd (BHB).
LTAT is the controlling shareholder of BHB.
In a statement, it said the privatisation proposal is subject to, among others, the finalisation of the structure of the proposal, the requisite funding and regulatory approvals.
On May 28, the LTAT said it was mulling a proposal to privatise the company at an offer price of RM0.80 per ordinary share.
This offer price, however, is indicative only and non-binding, it said.
“We wish to highlight that this notification does not amount to a firm intention that we will undertake the proposal. Accordingly, there is no certainty that we will proceed with the proposal,” it added.
stall announcement with slight -ve statement to lure seller out for their own accumulation? or deal gone bad and out of the kindness of their heart, LTAT wants to ease investor into slowly selling out in an orderly manner? tricky.
U guys know how much cost company have to bear if one cancel secured loan? For me ltat just play with time. Findinf right time and price to completely convince investor that 80 sen would be best price.but we all know boustead worth more than that amid higher debt
when I saw the share price let me think about one fb guru - golden summit sochai chong which he used to say what are u waiting for when the price at rm 1, then 0.90 what r u waiting for and now 0.575 still said confident about the GLC stock ........... wa lau ehh.......
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
BousteadInvestor
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Posted by BousteadInvestor > 2020-06-26 18:06 | Report Abuse
KUALA LUMPUR: After nearly a month, Lembaga Tabung Angkatan Tentera (LTAT) says there is no development on a possible privatisation of the loss-making BOUSTEAD HOLDINGS BHD.
In a statement issued on Friday it said since the press notice on the proposal dated May 28, “there has been no material development” of the proposal.
LTAT, which holds a 59% stake in Boustead, had then stated it was considering a proposal to privatise the company at 80 sen a share.
At 4.32pm, the share price was up 0.5 sen to 63 sen.
The armed forces fund board also reiterated the proposal was subject, to amongst others, the finalisation of the structure of the proposal, the funding and required regulatory approval.
It said the notification does not amount to a firm intention that it would undertake the proposal.
“Accordingly, there can be no certainty that we will proceed with the proposal,” LTAT said.
In the first quarter ended March 31, 2020, its losses widened compared to the same period a year ago as the group took a beating from the coronavirus (Covid-19) pandemic.
It posted a loss of RM73.1mil for the first quarter ended March 31, compared with the RM22.4mil loss a year earlier. Its revenue fell by 10% to RM2.26bil from RM2.51bil previously.
Boustead said its hotels, heavy industries, properties and petrol stations businesses were hit from the movement control order (MCO) as business and household activity froze from the measures to contain the spread of Covid-19.