Highlight Berjaya Corp raises its stake in REDtone to 20.05%

by **Cals** Fri 12 Dec 2014, 01:15

Highlight
Berjaya Corp raises its stake in REDtone to 20.05%

By Yimie Yong / theedgemarkets.com | December 11, 2014 : 8:27 PM MYT
KUALA LUMPUR (Dec 11): Berjaya Corp Bhd (BCorp) ([You must be registered and logged in to see this image.] Financial Dashboard), controlled by Tan Sri Vincent Tan, has increased its equity stake in REDtone International Bhd ([You must be registered and logged in to see this image.] Financial Dashboard) to 20.05%, from 12.39%, at 70 sen per share against today’s closing of 71.5 sen.

In a filing with Bursa Malaysia today, BCorp said its wholly-owned subsidiary, Juara Sejati Sdn Bhd, had acquired REDtone International’s securities for RM29.15 million cash.

The securities bought included 36.69 million ordinary shares, 1.9 million of 10-year irredeemable convertible unsecured loan stocks (ICULS) and two million of warrants.

The shares were priced at 70 sen, while the ICULS and warrants were priced at 27 sen and 43 sen respectively.

According to the statement, the acquisition was undertaken through direct business transaction.

With the latest purchases, BCorp will control 62.93% of REDtone’s warrants, plus 13.57% of the company’s warrants.

BCorp remains as second largest shareholder after Indah Pusaka Sdn Bhd, which is controlled by the company’s chief executive officer Lau Pik Soon, with 30.2% shareholding.

On Tuesday, REDtone has been awarded RM88.57 million contract from Malaysian Communications and Multimedia Commission (MCMC), to build, operate and maintain radio access network (RAN) infrastructure in rural areas in Sarawak and Johor.