Powernet jumps on Abdul Karim takeover offer
Published on 03 Oct 2019. | Source: thestar.com.my
KUALA LUMPUR: Shares in Kumpulan Powernet Bhd jumped to a two-year high after billionaire shareholder Datuk Mohd Abdul Karim Abdullah raised his stake in the company to trigger a mandatory general offer (MGO).
The stock surged 7 sen, or 7.6% to close at 99 sen with 4 million shares transacted.
Abdul Karim, the group managing director and group CEO of Serba Dinamik Holdings Bhd, on Oct 2 acquired an additional 12.25 million Powernet shares at RM1 each via several direct business transactions.
The latest purchase of shares increased his direct stake in the maker of warp-knitted fabrics from 20.04% to 36.13%, according to a filing with Bursa Malaysia yesterday.
Together with other parties acting in concert, Abdul Karim now has 46.81% controls of Powernet. He has extended his offer to buyout all remaining shareholders in the company at RM1 a share.
“The offeror intends to maintain the listing status of Powernet on the main market of Bursa Malaysia, ” Abdul Karim’s adviser RHB Investment Bank Bhd said in the filing.
Stay tuned for a new offer coming to you soon.
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