Symphony Life to buy back shares in Midah Jaya for RM300,000 more

PETALING JAYA: Symphony Life Bhd is buying back Midah Jaya Realty Sdn Bhd from Octane Capital Sdn Bhd at a premium of RM300,000 after it failed to transfer land promised under the sale and purchase agreement signed in July, on time.
To recap, Symphony Life signed an agreement to sell Midah Jaya to Octane for RM9.03 million in July, however because Symphony Life was unable to complete the transfer of ten acres of freehold land at Taman Midah, Cheras to Octane in time, Octane demanded that the deal be reversed and paid an additional RM300,000. The sum consists of Octane's funding cost at the rate of 8% per annum and the reimbursement of legal and stamp duty involved.
Symphony Life said the transfer of the land to Octane was bogged down by a delay in obtaining a requisite consent from the lessee of the land.
Upon the completion of the share buyback which is expected to take 60 days, Midah Jaya will become a wholly owned subsidiary of Symphony Life. again.
The company said the exercise is not expected to impact the group's financial year ending March 31, 2018. Symphony Life's share price was unchanged at 88 sen, with some 240,000 shares traded.