Monday 22 Apr 2024
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KUALA LUMPUR (Feb 13): FGV Holdings Bhd has once again applied to Bursa Malaysia Securities Bhd for more time to issue its circular for a proposed bonus issue, to comply with the public shareholding spread requirement.

The plantation giant was previously given up to Feb 13, 2024 to issue the circular. The extension was granted by Bursa Securities on Oct 31 last year.

In a bourse filing on Tuesday, FGV said it has submitted an application to Bursa Securities to request for a further extension of time of up to Aug 13, 2024.

It said the extension application was submitted under the request of its controlling shareholder, the Federal Land Development Authority (Felda), which owns a 81.9% stake in FGV.

“Felda is still in the process of obtaining the consents [of] the minister [responsible] for Felda, and the Ministry of Finance (MOF), both of which are subject to approval from the Cabinet of Malaysia, prior to the implementation of the proposals,” it said.

On June 30 last year, FGV announced the proposed bonus issue as part of its rectification plan to comply with Bursa Malaysia’s minimum public shareholding spread requirement of 25%.

As of Nov 22 last year, its public shareholding spread stood at 13.09%.

The group has, prior to this, sought and obtained five extensions to the deadline to meet the public shareholding spread requirement, with the last extension lasting till March 2 this year.

The bonus issue, which was supposed to be completed in the fourth quarter of 2023, entails the issuance of 364.82 million new Islamic redeemable preference shares (FGV RPS-i), on the basis of one FGV RPS-i for every 10 existing FGV shares held.

Thereafter, Felda will pare down its stake in FGV after completion of the bonus issue, to comply with the shareholding spread requirement, FGV said when announcing the proposal in June 2023.

FGV shares closed four sen or 2.82% higher at RM1.46 on Tuesday, with a market capitalisation of RM5.33 billion.

Read also:
FGV proposes bonus issue to address public shareholding spread shortfall

Edited ByTan Choe Choe
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