KUALA LUMPUR: NPC Resources Bhd's major shareholders are considering privatising the company at RM2.82 per share, the company said in response to a recent surge in its share price.
The oil palm plantation company's stock has gone up more than 40 per cent in the last one month.
In a Bursa Malaysia Securities filing, NPC Resources said Jubilant Ventures Sdn Bhd and Datuk Loo Pang Kee have guaranteed that if the privatisation proposal goes through, the price will not be lower than RM2.82 per share.
"However, in view that discussions are still ongoing, there is no conclusive indication at this juncture on whether such a proposal will actually materialise. "This is not a notice of firm intention to privatise NPC and there is no certainty that the proposal will be implemented."
"In this regard, investors are advised to exercise caution when dealing in shares in NPC," it noted.
Trading in NPC's share were halted for an hour until 3.30pm following the announcement.
At the time of writing, NPC shares were unchanged at RM2.90, giving it a market capitalisation of RM348 million.