KUALA LUMPUR (June 22): MAA Group Bhd is acquiring a 57.78% stake in Turiya Bhd from Ithmaar Bank BSC for RM23.8 million in a bid to extend a mandatory takeover offer on the machinery and chemicals manufacturer.

MAA, which is involved in investment holding and insurance business, proposed to acquire 132.15 million Turiya shares from Ithmaar Bank at 18 sen per share. It also intends to maintain Turiya's listing status on Bursa Malaysia.

Shares of Turiya were trading at or below the offer price between mid-2018 until August last year. Since August last year, Turiya's share price has mainly hovered above the 20 sen level.

The counter surged 1.5 sen or 6% to 26 sen before the counter was halted from trading in light of MAA's offer.

Turiya's largest shareholder is Empire Holdings Ltd, which holds a 59.45% stake in Turiya through Ithmaar Bank. Empire Holdings is a vehicle for Tan Sri Dr Mohan Swami.

The manufacturer has swung from profit to loss in recent years. It was in the red for financial year 2017 (FY17) to FY19 (ended March 31). Then in FY20, Turiya returned to the black, registering a net profit of RM455,000 on revenue of RM18.26 million. For its latest FY21, it booked a net profit of RM586,000 on revenue of RM18.92 million.

Trading of Turiya and MAA shares was suspended from 2.30pm to 3.30pm today amid the announcements.

Turiya shares fell one sen or 4.08% to 23.5 sen after the temporary suspension was lifted, valuing the group at RM51.6 million.

MAA shares rose one sen or 1.27% to 80 sen, valuing the group at RM209.65 million.