KUALA LUMPUR (Nov 8): Home appliance distributor Milux Corp Bhd (KL:MILUX) received an unconditional mandatory takeover offer on Friday from ABS Capital Sdn Bhd to acquire all the remaining shares it does not own, at 43.2 sen per share.
The takeover offer was triggered after ABS entered into eight share purchase agreements to acquire a 63.88% stake in Milux from executive vice chairman Datuk Wira Ling Kah Chok and seven other shareholders, at 43.2 sen per share, totalling RM64.9 million, according to a notice issued on behalf of ABS by Maybank Investment Bank.
According to the notice, ABS is 55% owned by a company linked to Exsim Group’s Lim brothers — Aik Hoe and Aik Kiat. The remaining 45% stake is held by Mak Wai Hoong.
The purchase price represents a 24.9% discount to Milux’s closing price of 57.5 sen on Friday. It is also a discount of 21.12% to the stock's five-day volume-weighted average price (VWAP) of 54.8 sen, and 17.34% less than Milux's one-month VWAP of 52.3 sen.
ABS acquired a 33.5% stake in Milux from Ling's private vehicle Topspike Holding Sdn Bhd, along with stakes from Asia New Venture Capital Holdings Sdn Bhd (15.2%), Gan Boon Han (4.25%), Wong Shoo Mei (4.25%), Tan Boon Kwan (4.24%), Wong Se Fung (1.8%), Lim Pey Pey (0.53%), and Heng Shwu Lih (0.11%).
Following the acquisition, Ling will cede control of Milux to ABS, who is obligated to extend the unconditional mandatory takeover offer to buy all remaining shares in Milux at 43.2 sen per share in cash.
ABS, however, intends to maintain Milux’s listing status on Bursa Malaysia.
The Lim brothers have been actively acquiring stakes in listed companies since the start of the year. In March, through Exsim Hospitality Holdings Sdn Bhd, they agreed to purchase a 65.9% stake in Pan Malaysia Holdings Bhd (KL:PMCORP) from prominent businessman Tan Sri Khoo Kay Peng for RM36.73 million, or six sen per share.
In October, via Exsim Borneo Sdn Bhd, the Lim brothers proposed to take up a 70% stake in Sabah-based property developer WMG Holdings Bhd (KL:WMG) at 16.5 sen per share, totalling RM75.12 million.
Shares of Milux rose two sen or 3.6% to close at 57.5 sen on Friday, valuing the company at RM135.16 million.