Tycoon Vincent Tan to sell 7-Eleven stake

By Sharen Kaur

US$800m DEAL: Berjaya Corp founder may dispose of up to 49pc

BERJAYA Corp Bhd (BCorp) founder Tan Sri Vincent Tan is looking to sell
up to 49 per cent of his 7-Eleven convenience store franchise in a deal
that could value the company at US$800 million (RM2.4 billion).

Tan owns the franchise through his private vehicle 7-Eleven Malaysia Bhd, which is a subsidiary of Berjaya Retail Bhd.

It was reported yesterday that the tycoon may launch an initial public offering (IPO) or a direct stake sale.

The news comes just days after it was reported that Tan is exploring an
IPO of Welsh football club Cardiff City this year, of which he owns a
36.1 per cent stake.


If successful, Cardiff City will be the second Premier
League team to float its shares after Manchester United listed on the
New York Stock Exchange, raising US$233.2 million in the largest sports
team IPO ever.

With a net worth estimated at US$1.3 billion, Tan is Malaysia's ninth
richest person as of March, according to Forbes magazine.

Through Berjaya Corp, he has interests in gaming, property development, hotels and fast-food franchises.

Business Times reported in March that BCorp and Tan are planning to
list five companies this year, mostly in Singapore, to raise more than
RM2 billion.

BCorp will look to list Sports Toto Malaysia Trust
(STM-Trust) and Bermaz Motor Sdn Bhd while Tan is likely to float his
private vehicles, namely 7-Eleven Malaysia Bhd, MOL Global Bhd and
U-Mobile Sdn Bhd.

The listings of 7-Eleven and MOL are part of
the billionaire's pledge to donate half of his wealth to charity and to
reduce group borrowings.

Berjaya Retail was listed on Bursa
Malaysia in August 2010 but taken private nine months later because the
stock faced depressed share prices.

A company linked to Tan had made an unconditional takeover offer for Berjaya Retail.

7-Eleven is a cash cow for Berjaya Retail. In the fiscal year 2010, the
24-hour convenience store operator earned around RM1.31 billion in
revenue and RM36.7 million in net profit.

With more than 1,300 stores, 7-Eleven Malaysia serves about 500,000 customers daily.