Incumbent Telekom Malaysia (TM) has agreed to sell its 15.4% stake in Malaysian satellite operator Measat Global to billionaire Ananda Krishnan for MYR252.1m (US$81m), according to a company statement.
Last July, Krishnan confirmed to the Bursa Malaysia…
Incumbent Telekom Malaysia (TM) has agreed to sell its 15.4% stake in Malaysian satellite operator Measat Global to billionaire Ananda Krishnan for MYR252.1m (US$81m), according to a company statement.
Last July, Krishnan confirmed to the Bursa Malaysia that he intended to acquire the remaining 40% of Measat it did not already own from minority shareholders for MYR4.20 (US$1.34) per share and then to take it private. Krishnan needs to own at least 90% of Measat’s shares to complete that process.
The transaction is conducted via Krishnan’s vehicle Measat Global Network Systems (MGNS) and is expected to cost Krishnan MYR668m (US$214.5m).
The takeover offer should have expired today but MGNS has extended the deadline to 22 September.
In the statement, Telekom Malaysia said that the cash offer price represents a premium of 10.53% to Measat’s last traded share price on 27 July. The company also explained that the proceeds from the sale would be used to finance TM’s working capital requirements.
CIMB Investment Bank and Maybank Investment Bank are acting as advisers on the takeover process.
