KUALA LUMPUR (April 20): UOA Development Bhd (KL:UOADEV) has terminated its shareholder agreement with Care Concierge Care Centre Sdn Bhd (CCCC) and will take full control of its managed care facilities operator, Komune Care Centre Sdn Bhd.

In a filing with Bursa Malaysia, the property developer said its subsidiaries — Federaya Development Sdn Bhd and Regenta Development Sdn Bhd — had mutually agreed with CCCC to terminate the agreement with immediate effect via a termination agreement dated April 17.

The decision follows differing business views, UOA Development said.

Following the termination, CCCC’s 40% stake — comprising 186,667 ordinary shares — in Komune Care Centre Sdn Bhd will be transferred to Federaya for a cash consideration of RM500,000. This will result in Komune Care Centre becoming a wholly-owned subsidiary of UOA Development through its units.

The joint venture was initially formed on Sept 9, 2021, to operate managed care facilities at Komune Living and Wellness Centre.

UOA Development said the termination is not expected to have any material impact on its earnings, gearing or net assets, and will not affect its share capital or substantial shareholders.

“The board, having considered all aspects of the termination, is of the opinion that it is in the best interest of UOA Development,” the group said.

Shares in UOA Development closed two sen or 1.1% higher at RM1.85 on Monday, giving the group a market capitalisation of RM4.91 billion. The stock has risen about 8.5% over the past year.