KUALA LUMPUR (May 4) : Berjaya Corp Bhd’s (BCorp) proposed acquisition of an associate stake in diversified entity Atlan Holdings Bhd could give the buyer access into prime tracts in Penang.
A glance at Atlan’s annual report indicates that the firm ,the businesses of which, include duty-free goods trading, automotive components production, besides real estate and hotel operations, owns prime freehold land in Penang’s north eastern enclave.
These tracts have a combined area of 1.17 sq metres with a net book value of RM38 million, Atlan's annual report shows.
Conglomerate BCorp via subsidiary Berjaya Land Bhd (Bland) is making inroads into the Penang real estate market after an over 20-year hiatus. BLand made news in August last year when it acquired a 23ha (57.3 acre) portion of the Penang Turf Club (PNTC) tract for RM459 million.
Berjaya group chairman Tan Sri Vincent Tan had said then that the conglomerate planned to develop RM1.52 billion worth of residential units on the PNTC tract.
BCorp announce to the exchange on Thursday that it is raising its stake to about 25% in Atlan via a purchase of 40 million shares or 15.8% of Atlan’s issued base from Cipta Nirwana (M) Sdn Bhd. The buyer intends to pay RM170 million or RM4.25 a share for the purchase.
According to BCorp, it already owns 9.18% in Atlan, of which, a 7.9% portion was acquired via off-market deals for RM85 million or RM4.25 a share.
The market had responded positively to BCorp’s latest move. The stock rose as much as 2.5% or two sen to 82.5 sen on Friday before settling lower at 82 sen for lunch break with some four million shares done.