PETALING JAYA: The Armed Forces Fund Board’s (LTAT) efforts to implement the possible general offer involving Boustead Plantations Bhd (BPlant) remains ongoing, subject to obtaining the requisite approvals.
In a statement today, LTAT said it would make the relevant announcement or notification as and when required in accordance with the requirements of the Securities Commission (SC) and/or other relevant authorities.
On Oct 5, BPlant said it had been informed of LTAT’s intention to proceed with the offer for BPlant at an offer price of RM1.55 per share despite the mutual termination of the strategic collaboration agreement (SCA) between Kuala Lumpur Kepong Bhd (KLK) and BPlant’s controlling shareholders, LTAT and Boustead Holdings Bhd (BHB).
A day earlier, BPlant and KLK said the parties had agreed not to proceed with KLK’s proposed RM1.15 billion acquisition of a 33% stake in BPlant as “the condition precedent under the SCA will not be satisfied by the cut-off date of Oct 6, 2023″.
“In the circumstances, the parties mutually agree that the SCA shall be terminated with immediate effect on Oct 4, 2023,” the two companies said in their respective filings with Bursa Malaysia.
On Aug 24, 2023, KLK proposed to acquire 739.2 million shares, or a 33% stake and one share, of Boustead Plantations from BHB for RM1.15 billion.
KLK also proposed a mandatory take-over offer to acquire all the remaining BPlant shares not already owned by KLK, BHB and LTAT resulting from the proposed acquisition at RM1.55 per BPlant share.
The offer price values BPlant at RM3.47 billion.
Today, BPlant’s shares closed one sen lower at RM1.47 with 1.68 million shares traded.