EPF to privatise RHB Capital ?

EPF to privatise RHB Capital ?
Business & Markets 2013
Written by Chong Jin Hun of theedgemalaysia.com
Friday, 21 June 2013 13:29

KUALA LUMPUR (June 21): RHB CAPITAL BHD []’s (RHBCap) single-largest shareholder the Employees Provident Fund (EPF) is considering buying the remaining shares it does not own in the financial services provider, according to Bloomberg.

Bloomberg, quoting a person with knowledge of the matter, reported today that the EPF is working with Goldman Sachs Group Inc to study options for RHBCap.

The EPF and RHBCap have denied speculation on the privatisation of the latter.

Bloomberg quoted EPF chief executive officer Datuk Shahril Ridza Ridzuan as saying the fund has no plans to buyout RHBCap.

"We don’t currently plan to do a privatisation of RHBCap,” Shahril said in a text message.

“Anything is possible in the future. We get proposals all the time, but very few of them end up being considered seriously.” he said.

RHBCap managing director Kellee Kam was quoted as saying by telephone that he was not aware of a possible acquisition by the EPF.

The EPF owns some 41% of RHBcap followed by the Abu Dhabi Investment Authority's 22% stake while OSK HOLDINGS BHD [] holds 10%.

At 12.30pm, RHBCap shares rose two sen to settle at RM8.62 for a market capitalisation of RM21.5 billion. The stock had risen 12% so far this year, outperforming the FBM KLCI’s 4% advance.