Government-linked funds acquire shares in Brahim's

by **Cals** Wed 12 Feb 2014, 08:41

Published: Wednesday February 12, 2014 MYT 12:00:00 AM
Updated: Wednesday February 12, 2014 MYT 6:51:26 AM
Government-linked funds acquire shares in Brahim's
BY FINTAN NG

PETALING JAYA: Government-linked funds are believed to have acquired the two tranches of shares in inflight caterer-cum-restaurant operator Brahim’s Holdings Bhd transacted recently.
The company saw 10 million shares representing a 4.43% stake transacted in an off-market deal on Monday at an average price of RM2.25 each while Brahims International Franchises Sdn Bhd, which held a 39.42% stake, sold three million shares representing a 1.33% stake at the same price on Feb 6.
An analyst told StarBiz that both blocks of shares were placed out to government-linked funds, of which the three million share-block was sold to the Retirement Fund Inc (also known as KWAP).
Early last October, Koperasi Permodalan Felda Malaysia Bhd emerged as a substantial shareholder in Brahim’s with a 5.2% stake, while pilgrimage fundLembaga Tabung Haji raised its stake to 5.06% after acquiring another 366,500 shares in early January.
StarBiz reported recently that Brahim’s major shareholder Datuk Ibrahim Ahmad Badawi, who held 54.89% direct and indirect stakes in the company before the sale of the shares, may inject more assets via privately held Dewina Holdings Sdn Bhdinto the company.
Ibrahim, who founded both Brahim’s and Dewina, helms both as executive chairman. A Dewina subsidiary provides Brahim’s ready-to-eat meals and sauces.
Analysts expect a merger and acquisition (M&A) exercise to be undertaken this year, with one analyst saying that it could happen in the next few months as the paperwork has been completed with only the greenlight from the regulators needed.
Another analyst pointed to recent announcements including the tie-up with Labuan Halal Hub Sdn Bhd (announced on Jan 16) and Japanese airline ANA Holdings Inc(announced on Jan 7) involving the provision of halal meals as signs that an M&A exercise could be announced soon, possibly in the first-half of the year.
Brahim’s share price has risen 27.17% year-to-date and closed at RM2.34, up one sen.