KUALA LUMPUR: The Armed Forces Fund Board (LTAT) has launched an unconditional takeover offer for all the remaining shares not held by it in Boustead Plantations Bhd (BPlant) for RM1.55 each.
This is after LTAT signed the unconditional share sale agreement with Boustead Holdings Bhd to acquire 739.20 million BPlant shares representing a 33 per cent stake.
"Upon completion of the shares acquisition, LTAT's shareholding in BPlant will increase from 237.21 million shares to 976.41 million shares (representing 43.59 per cent of the total issued shares of BPlant)," the fund said today.
LTAT does not intend to maintain the listing status of BPlant.
As such, it will not be taking any steps to address any shortfall in the public shareholding spread of BPlant if the latter does not meet the public spread requirement after the closing date.
Meanwhile, LTAT confirmed that it has sufficient financial resources to satisfy full acceptance of the offer.
The offer will not fail due to insufficient financial capability, and that every accepting holder will be paid fully in cash, it said.
LTAT said the offer represented a significant step forward in its overall restructuring and turnaround of the BHB group of companies and in rebalancing its investment portfolio to better position the fund vis-à-vis the risk-return profile.
"The offer also provides LTAT greater flexibility in setting the strategic direction of BPlant and accelerating the value creation plans that meet the objective of LTAT.
"The fund remains steadfast in enhancing its asset quality to provide sustainable returns to its contributors, in line with the LTAT Strategic Plan 2023-2025," it added.