KUALA LUMPUR (July 3): Insas Bhd (KL:INSAS) has disposed of 150 million shares in Inari Amertron Bhd (KL:INARI) for RM318.1 million in cash, trimming the group’s investment in the outsourced semiconductor assembly and test (OSAT) provider to 5.701%.
The sale, carried out on July 2 at RM2.12 per share, represents a discount of 20 sen or 8.62% to Inari Amertron's closing price of RM2.32 on July 1, Insas noted in a bourse filing on Friday.
The disposal comes after Insas earlier sold 100 million Inari Amertron shares for RM186 million in May.
The latest disposal of 150 million shares, equivalent to a 3.92% stake in Inari Amertron, was carried out through direct business transactions by Insas' wholly-owned subsidiaries Insas Plaza Sdn Bhd, Insas Technology Bhd and Media Lang Ltd.
The stake is deemed to be held by Inari Amertron major shareholder Datuk Sri Thong Kok Khee, through the group's shareholding in Inari Amertron.
Insas Technology Bhd was also a 51% founding shareholder of Inari Technology Sdn Bhd in 2006 before Inari Amertron's listing in 2011.
The disposal is expected to result in a net gain of approximately RM165 million.
Of the RM318.1 million proceeds, RM259.7 million has been earmarked for working capital, RM50 million for repayment revolving credit facilities and RM8.4 million to defray costs to the disposal and tax payable.
Insas said the disposal allows the group to realise capital gains and monetise part of its investment in Inari Amertron.
The group originally acquired the disposed shares at a cost of about RM54 million, while their carrying value stood at RM144.7 million after accounting for post-acquisition profits and reserves.
Insas’ share price closed unchanged at 86 sen on Friday, giving the group a market capitalisation of RM622 million.
Inari Amertron shares, meanwhile, have rebounded 83% since their recent low of RM1.21 in March. The stock settled one sen or 0.45% lower at RM2.21 on Friday, valuing the company at RM8.45 billion.