KUALA LUMPUR (March 14): Exsim Development Sdn Bhd said on Thursday that its property development business will not be injected into Pan Malaysia Holdings Bhd (PMHB).
The company clarified in a statement that it is not related to Exsim Hospitality Holdings Sdn Bhd, which was acquiring a 65.9% stake in PMHB even as both companies have the same group of shareholders.
“It is not the intention of the shareholders to inject the property development business of Exsim into PMHB,” Exsim Development added.
Exsim Development’s statement came after Exsim Hospitality, owned by Lim’s brothers — Lim Aik Hoe, Lim Aik Kiat, and Lim Aik Fu, completed the acquisition of a 65.9% stake in PMHB for RM36.73 million.
The company bought the shares at six sen apiece from three companies linked to tycoon Tan Sri Khoo Kay Peng, with Exsim Hospitality obliged to extend an unconditional offer for the remaining shares in PMHB under Malaysian takeover rules.
Further, Exsim Development said that it will continue to develop properties while Exsim Hospitality focuses on hospitality management.
Aik Hoe and Aik Kiat are both managing directors of Exsim Group, while Aik Fu is the deputy managing director. The brothers founded the real estate development group in 2008.
Meanwhile, Exsim Hospitality is 25%-controlled by Aik Fu, with the remaining stake equally owned by his elder brothers Aik Hoe and Aik Kiat.
PMHB became a takeover target following divestment of its stockbroking and asset management subsidiaries PM Securities Sdn Bhd, PCB Asset Management Sdn Bhd and Miranex Sdn Bhd to NewParadigm Capital Ventures Sdn Bhd for RM90 million last November.
After the divestment, PM Holdings was left with the 10-storey Corus Paradise Resort in Port Dickson and the surrounding land, which had a book value of RM34.83 million, according to the group's annual report for the year ended June 30, 2023.
Shares of PMHB rose 5% or one sen to 21 sen as of 11.13am on Thursday, giving the company a market capitalisation of RM190.82 million. The counter has risen over 100% since the start of 2024.