KUALA LUMPUR (May 5): Sunview Group Bhd (KL:SUNVIEW) said it will be seeking its shareholders’ mandate to dispose of the company's 22.44% stake in aluminium products maker Winstar Capital Bhd (KL:WINSTAR).

The proposed sale of its 70.03 million Winstar shares to third-party purchasers to be identified later will not be made at a price below 43 sen apiece, the solar power player said in a bourse filing on Tuesday.

No rationale on the 43 sen floor price was disclosed in the filing. The floor price was a 23.6% discount to Winstar’s closing price of 55 sen on Tuesday and an 8.5% premium to its net asset value per share of 38.43 sen as at end-December 2025.

Sunview said the proposed divestment is aimed at realising its investment in Winstar and strengthening its cash flow. Proceeds of RM30.12 million will be used to part-finance its engineering, procurement, construction and commissioning projects, repay bank borrowings, as well as defray expenses related to the disposal mandate.

The company expects a proforma gain on disposal of RM6.81 million from the stake sale, based on a net disposal consideration of RM29.91 million and the stake’s carrying value of RM23.1 million as at end-September 2025. 

“The board also considered the trading liquidity of Winstar shares, as reflected by the average monthly trading volume of approximately 3.27 million shares and 12.82 million shares for the past six months and 12 months, respectively, up to April 30, 2026,” Sunview said.

“The proposed disposal mandate of 70.03 million Winstar shares represents approximately 21.44 times and 5.46 times of the average monthly trading volume of Winistar for the past six months and 12 months, respectively,” it added.

Sunview has been a substantial shareholder of Winstar, which is also involved in solar PV system installation, since 2023.

It acquired a 30% stake in Winstar Aluminium Manufacturing Sdn Bhd for RM18 million in 2023, which was later exchanged for a 30% stake in investment holding company Winstar Capital, incorporated in preparation for the latter’s listing. Winstar listed on the ACE Market in December 2024.

The mandate to be sought by Sunview is for a period of 12 months from the date of secured shareholders’ approval at an extraordinary general meeting to be convened.

Shares of Sunview ended unchanged at 36.5 sen on Tuesday, valuing the company at RM211.87 million.

Winstar also closed unchanged at 55 sen, giving the company a market capitalisation of RM171.67 million.