KUALA LUMPUR (July 9): The collective shareholding of YTL Power International Bhd (KL:YTLPOWR) and its 70%-owned unit SIPP Power Sdn Bhd in Ranhill Utilities Bhd (KL:RANHILL) remained unchanged at 53.19% or 689.37 million shares after the close of their mandatory general offer (MGO).
The unconditional MGO closed at 5pm on Tuesday, said Maybank Investment Bank Bhd in a statement on behalf of YTL Power and SIPP.
The MGO was triggered in May after SIPP bought 31.42% equity interest in Ranhill Utilities for RM405.18 million or 99.5 sen per share from Tan Sri Hamdan Mohamad. The share purchase raised YTL Power and SIPP’s collective shareholding from 21.77% to 53.19%, triggering the MGO. The offerors had said they intended to maintain Ranhill Utilities' listing status.
YTL Power first emerged as Ranhill Utilities’ substantial shareholder last November after it bought close to a 19% stake for RM140 million, or 58 sen per share, from TAEL Management Co (Cayman) Ltd. TAEL is the private equity firm that funded Hamdan during the privatisation of Ranhill Bhd and Ranhill Utilities in 2011.
Ranhill Utilities' net profit declined to RM57.89 million in the financial year ended Dec 31, 2023 (FY2023) from a record high of RM95.25 million the previous year, primarily due to lower recognition of government grants. However, FY2023 revenue increased to RM2.28 billion from RM1.73 billion, driven by higher water revenue.
Ranhill Utilities closed three sen or 1.84% lower at RM1.60 on Tuesday, giving it a market capitalisation of RM2.07 billion. YTL Power was four sen or 0.76% lower at RM5.19, valuing it at RM42.83 billion.