KUALA LUMPUR: TAFI Industries Bhd recently announced that Koperasi Permodalan Felda Malaysia 2 Bhd (KPF2) has emerged as a substantial shareholder of the company following a share subscription.
KPF2 had acquired the 12.65 million TAFI's shares representing a 10.20 per cent stake from controlling shareholder Armani Synergy Sdn Bhd via direct business transaction.
"Armani Synergy remains the company's controlling shareholder via its holdings of 64.86 million shares which represent 52.33 per cent of TAFI's share capital excluding treasury shares," it said.
KPF2 chairman of Investments committee Abdul Malek Jalil said KPF2 is optimistic about the prospects of the furniture and property development industry.
"We had invested in TAFI to gain exposure to the said industries to enhance investment returns for its members," said Abdul Malek.
Meanwhile, TAFI group managing director Datuk Seri Azlan Azmi said the investment in the company by institutional investors such as KPF2 is a vote of confidence on the long term prospects of its furniture and property development businesses.
Azlan said TAFI understands that KPF2 will be seeking board representation in the company in due course, and TAFI looks forward to having more unbiased views to board deliberations and evaluations of its performance and business strategies.
"We are confident that bringing KPF2 onboard TAFI as a substantial shareholder will also give rise to synergies as TAFI will be able to market its furniture products and property offerings to KPF2's members", he said.