Berjaya Corporation Bhd (Berjaya Corp) has announced that its wholly-owned subsidiary, Juara Sejati Sdn Bhd (JSSB), had disposed a total of 37.8 million ordinary shares representing about 4.89% equity interest in REDtone Digital Berhad (REDtone) yesterday (Nov 14).
In a Bursa listing today, Berjaya Corp said the disposal is done via a direct business transaction for a total cash consideration of about RM27.59 million or at 73 sen per REDtone share.
“Following the disposal, Berjaya Corp and its subsidiaries (Berjaya Corp Group) now hold a total of 329.06 million REDtone shares representing about 42.57% equity interest in REDtone,” it said.
The daughter of Sultan of Johor, Tunku Tun Aminah Sultan Ibrahim Ismail is the non-executive chairman of Berjaya Corp and REDtone.
Her father, Sultan Ibrahim Sultan Iskandar, is a major shareholder of REDtone.
“Tunku Tun Aminah, being an interested director, has abstained from all Board deliberations and voting in relation to the disposal.
“None of the other directors and/or major shareholders of Berjaya Corp or persons connected to them have any interest, direct or indirect,
in the disposal,” Berjaya Corp said.
It added that its audit committee of is also of the opinion that the disposal is fair, reasonable and on normal commercial terms and is in the best interest of the group as well as not detrimental to the interest of its minority shareholders.
“The shares were disposed of by JSSB free and clear of all liens, charges and claims of any kind or restriction. The cash proceeds from the
disposal will be utilised to repay borrowings and/or as working capital for the group.
“The disposal enabled the the Berjaya Corp group to realise part of its investment in REDtone,” it said.
Berjaya Corp said that the cash consideration for the disposal was arrived at after taking into consideration the prevailing market prices of the REDtone shares at the time of the disposal.
The carrying value of the REDtone shares pursuant to the disposal in the books of the group as at 30 June 2023 is RM0.65 per REDtone share, incurred since January 2008.
The highest percentage ratio applicable to the disposal pursuant to Paragraph 10.02(g) of the listing requirements is about 0.46%.
