KUALA LUMPUR (Oct 22): Midvest Asia Sdn Bhd has ceased to be a substantial shareholder of Wasco Bhd (KL:WASCO), formerly known as Wah Seong Corp Bhd, after disposing of a 2.58% stake in the energy infrastructure group.

The stake, comprising 20 million shares, was sold via a direct business transaction on Monday, according to Wasco's stock exchange filing on Tuesday.

The shares were sold at RM1.06 each, a discount of 5.36% compared to the closing price of RM1.12 on Monday, valuing the transaction at RM21.20 million.

Midvest Asia has been trimming its stake in Wasco since August with a total of 22.16 million shares or a 2.86% stake sold, leaving it now with 19.48 million shares or a 2.52% direct stake in the company.

Midvest Asia owned 5.38% of Wasco as at end-December 2023, making it the third largest shareholder of the company after Wah Seong (Malaya) Trading Co Sdn Bhd (30.92%) and Tan Kim Yeow Sdn Bhd or TKY SB (8.63%), according to Wasco's annual report.

Midvest Asia also holds a direct stake of 0.29% or 2.23 million shares in Wasco via Midvest Properties Sdn Bhd. Wasco's non-independent and non-executive director Chan Cheu Leong is deemed to have an interest in the company through both Midvest Asia and Midvest Properties.

Chan, meanwhile, holds a 2.67% direct stake or 20.68 million shares in Wasco.

The group’s largest shareholder Wah Seong Malaya is the investment vehicle of the Tan family that founded IGB Bhd (KL:IGBB).

Wasco's chairman Datuk Seri Robert Tan Chung Meng is the son of the family's patriarch, the late Datuk Tan Kim Yeow. He is deemed to have an interest in the group through Wah Seong Malaya and TKY SB.

Shares of Wasco closed unchanged at RM1.12 on Tuesday, giving the group a market capitalisation of RM867.87 million.