KUALA LUMPUR (MAY 24): Multi-Purpose Holdings Bhd (MPHB) shares rose on Thursday, after the company proposed a demerger of its gaming and non-gaming units, which will be listed separately under a special purpose vehicle (SPV), in bid to make a MPHB a dividend centric stock.
At 9.10am, MPHB added 10 sen to RM2.03 with 1.7 million shares traded.
There will be an offer for sale for all shareholders of MPHB where they can accept shares of the SPV.
The demerger will see the new MPHB having an 80% dividend policy.
The Edge Financial Daily in its Wednesday edition reported that MPHB was planning a major restructuring that will feature the creation of a new entity to house its non-gaming assets, a move that will turn the group into a pure proxy for the gaming sector.
Under the plan, MPHB is proposing to inject its interests in properties, hotels and financial services into a special purpose vehicle and leave the group with one asset, Magnum Corp Bhd, the profitable numbers forecast operator, it said.