KUALA LUMPUR (Feb 5): Swift Haulage Bhd, the country’s largest container haulage company, said its substantial shareholder Persada Bina Sdn Bhd is selling 11.16% of the company's issued share capital to Singapore-based logistics company JWD Asia Holding Pte Ltd for a total of RM61.9 million or 63 sen apiece cash.

The disposal price is a 3.3% premium to Swift Haulage's closing price of 61 sen last Friday.

JWD Asia is a wholly owned subsidiary of Thailand-listed SCGJWD Logistics PCL (SJWD), a regional logistics company based in Thailand and operates across Asean.

In a bourse filing with Bursa Malaysia on Monday, Swift Haulage said it was informed that Persada Bina, which currently holds 309.62 million shares or a 35.16% stake in the company, had entered into a sale and purchase agreement with JWD Asia for the proposed disposal of 98.27 million shares, equivalent to 11.16% of Swift Haulage's issued shares.

"The proposed disposal is expected to be completed on Feb 22," it added.

Apart from Persada Bina's 11.16% stake, JWD Asia is acquiring an additional 9.28% from Kumpulan Wang Persaraan (Diperbadankan), Kenanga Private Equity Sdn Bhd, Angka Dayamas Sdn Bhd and an individual, Ng Chee Kin, also at a price of 63 sen per share, JWD Asia said in a separate filing with the Stock Exchange of Thailand. This brings JWD Asia's total investment in Swift Haulage to RM113.4 million.

JWD Asia said the proposed acquisition will strengthen its logistics network in Malaysia to elevate the service level to cover Asean countries, expand the customer base to cover more within the region, and increase sales and gross profits from the synergy in cross border transportation.

"This transaction will also uplift the company in multiple ways, including business, costs, and management. It also reduces the risk from the competitive environment of the business. Therefore, the company's board of directors has approved the transaction of shares acquisition of Swift Haulage," it added.

Post disposal, Persada Bina will hold a 24% stake in Swift Haulage, while JWD Asia will emerge as a substantial shareholder with 20.44% equity interest.

Swift Haulage group chief executive officer Loo Yong Hui has substantial shareholdings in Persada Bina. He is the son of Loo Hooi Keat, a non-independent non-executive director and adviser of Swift Haulage.

Swift Haulage shares closed down seven sen or 11.48% at 54 sen on Monday, with 18.6 million shares changing hands. Its market capitalisation stood at RM480.65 million. The stock's share price has fallen 5.26% so far this year, but is up 8% over the last one year.