KUALA LUMPUR (June 22): Berjaya Corporation Bhd (KL:BJCORP) has sold its entire 8.64% stake in Citaglobal Bhd (KL:CITAGLB) for RM42.56 million to Detik Ria Sdn Bhd, a company controlled by Johor princess Tunku Tun Aminah Sultan Ibrahim.

The disposal is a related-party transaction as Detik Ria is a major shareholder of Berjaya Corp. Tunku Aminah is Berjaya Corp's non-executive chairman, a director of Berjaya Securities Sdn Bhd and chairman of Detik Ria. She is also deemed a major shareholder of Detik Ria.

In a Bursa Malaysia filing on Monday, Berjaya Corp said its wholly-owned subsidiary Berjaya Securities disposed of 46.77 million Citaglobal shares to Detik Ria via a direct business transaction on June 19 at 91 sen apiece.

The shares were acquired at 90 sen each through Citaglobal's private placement exercise completed on June 8, with the carrying value of the investment in Berjaya Corp's books also standing at 90 sen per share.

Following the disposal, Berjaya Securities ceased to be a shareholder of Citaglobal.

According to the filing, the disposal price was arrived at after taking into consideration the prevailing market price of Citaglobal shares at the time of the transaction.

The group said the sale enabled it to realise its investment in Citaglobal, with the proceeds earmarked for working capital, including administrative, marketing and operating expenses.

The disposal is not expected to have any material effect on the group's net assets, earnings or gearing for the financial year ending June 30, 2026, and will not affect Berjaya Corp's issued share capital or substantial shareholders' shareholdings.

Berjaya Corp said Tunku Aminah abstained from all board deliberations and voting in relation to the disposal.

The group's audit committee was of the view that the transaction was fair, reasonable and conducted on normal commercial terms, and was not detrimental to the interests of minority shareholders.

Shares in Berjaya Corp closed up 0.5 sen or 2% to 25.5 sen, valuing the group at RM1.55 billion. Over the past one year, the stock has declined 3.8%. Meanwhile, Citaglobal closed unchanged at 90.5 sen, valuing the company at RM489.9 million. The counter has gained 12.4% in the past year.