KUALA LUMPUR (April 25): The Edge Communications Sdn Bhd and its owner Tan Sri Tong Kooi Ong have surfaced as substantial shareholders of Star Media Group Bhd — which publishes the country’s largest English daily The Star.

Star Media’s filings with Bursa Malaysia show that Tong owns a direct interest of 1.84 million shares or 0.25% stake, as well as 37.5 million shares or 5.17% indirect interest through The Edge Communications.

With a total of 5.42% stake, The Edge and its owner Tong would be substantial shareholders in the Main Market-listed Star Media. Malaysian Chinese Association (MCA) is the controlling shareholder holding 45.4% equity interest. 

In an internal memo to staff, Tong said the acquisition is purely an investment.

“This is an investment in a company whose share price and capitalisation have for several years been well below the cash it has, and the value of its property assets. It has no debt and is clearly undervalued,” he said.

Shares of Star Media, which gained 57% this month alone, closed five sen or 11% higher at 51 sen on Tuesday (April 25), giving it a market capitalisation of RM376.67 million.