BToto shelves listing of business trust in Singapore (Update2)

KUALA LUMPUR: Berjaya Sports Toto Bhd (Btoto) has shelved its plans to list its subsidiary Sports Toto Malaysia Sdn Bhd as a business trust on the Singapore Stock Exchange (SGX).
It said on Monday that having considered the current challenging market conditions and the poor performances of listed yield stocks such as real estate investment trusts (REIT) and other business trusts in Singapore, the board has decided not to proceed with the proposed listing of Sports Toto Malaysia Trust (STM-Trust).
“The board will continue to act in the best interest of BToto and its shareholders and will remain conscious and open to ideas that can enhance shareholders value on a sustained basis,” it said.
To recap, the proposals had earlier included the transfer by Btoto of its 100% equity stake in Sports Toto Malaysia Sdn Bhd to a business trust in Singapore -- STM-Trust – and the proposed listing of units in STM-Trust in Singapore.
In mid-October, BToto announced to Bursa Malaysia that it had received a new conditional eligibility-to-list (ETL) letter from Singapore Exchange Securities Trading Ltd on the listing of STM-Trust.
It was also reported the Monetary Authority of Singapore also gave BToto the green light to proceed with the lodgement of its prospectus for the proposed listing.
Another condition is to set a minimum issue price of 50 Singapore cents for the initial public offering (IPO) of the trust.
BToto had earlier proposed to undertake a dividend-in-specie exercise of up to 2.81 billion units. The dividend-in-specie will be distributed to BToto shareholders on the basis of 21 STM-Trust units for every 10 BToto shares held.