KUALA LUMPUR (Sept 25): Yinson Holdings Bhd (KL:YINSON) and MISC Bhd (KL:MISC) said discussions on Yinson's potential privatisation are ongoing, with the indicative offer price maintained at RM2.35 per share.
In separate Bursa filings on Friday, both companies said the proposed privatisation, to be carried out via a scheme of arrangement under Section 366 of the Companies Act 2016, remains subject to evaluations, negotiations among the parties, executions of definite agreements, determination of the final offer price and other requisite approvals and conditions.
They also stressed that there can be no assurance that the discussions will result in a deal.
Last month, Yinson received a letter from Yinson Legacy Sdn Bhd (YLSB), the investment vehicle of executive chairman Lim Han Weng and his family, confirming talks with MISC and Malaysian retirement fund the Employees Provident Fund about taking the oil and gas firm private.
If a deal is agreed upon, a court-sanctioned scheme of arrangement will see MISC and Yinson Legacy acquire the 55.2% of Yinson shares not held by Yinson Legacy and connected parties.
EPF, meanwhile, would retain its existing effective shareholding in Yinson.
Lim and his family have a combined 27.68% stake in the firm, while EPF owns 17.09%. Another substantial shareholder is Retirement Fund Inc, the pension fund for civil servants better known as KWAP, holding 6.702%.
Post-completion, MISC and Yinson Legacy are expected to hold equal interests in Yinson.
Yinson owns a fleet of eight floating, production, storage and offloading (FPSO) vessels and other assets cross Southeast Asia, South America and Africa. MISC, which is 51% owned by the national oil company PETRONAS, has six FPSOs and six other vessels in Malaysia, Thailand, Vietnam and Brazil.
Yinson also owns 557-megawatts in renewable energy assets and has another 148-megawatts under construction in India, Peru and New Zealand. It also operates electric vehicle charging stations in Malaysia and Singapore.
On Friday’s market close, Yinson’s shares were down five sen or 2.43% to RM2.15, valuing the group at RM6.79 billion.
The stock has rebounded over 20% from its low in July, but is still down over 10% from the start of this year.
Meanwhile, MISC declined seven sen or 0.88% to RM7.85, trimming the company's market value to RM35.04 billion.