Goldis revises scheme to take over IGB Corp

PETALING JAYA: Goldis Bhd has revised its proposed scheme to take over IGB Corp Bhd some five months after announcing it, giving more shareholders the option of staying invested in the group post completion of the exercise.

Goldis announced in February 2017 it is offering shareholders a combination of either cash, cash and Goldis shares or cash and redeemable convertible cumulative preference shares (RCCPS) to take over interests in IGB Corp in a bid to make it a wholly owned subsidiary of the group. It is offering RM3 for every IGB Corp share it doesn’t own.

Goldis last Friday told Bursa Malaysia Securities Bhd, shareholders opting for cash and RCCPS would now be offered 12% cash and 88% Goldis RCCPS, while shareholders owning less than 100 shares who were previously only allowed to opt for cash, can also opt for the combination of cash and shares, or cash and Goldis RCCPS.

The 7-year New RCCPS with 1:1 conversion into Goldis Shares will have a 4.3% dividend rate per annum.

Under the initial proposal, shareholders holding more than 100 shares are given three options – an all cash payout, a 30% cash and 70% Goldis shares combination or 20% cash and 80% RCCPS.

Goldis’ shares closed up one sen last Friday at RM2.90 a share for a market capitalisation of RM1.77 billion, while IGB Corp’s shares closed three sen lower to RM2.87 a share, giving a market capitalisation of RM3.92 billion.

IGB Corp is the sponsor of IGB REIT which owns Mid Valley Megamall and Gardens Mall in Kuala Lumpur, besides managing a diverse portfolio of long term commercial, retail, residential and hospitality assets in Asia, Australia, the United States and Europe.