PETALING JAYA: Berjaya Assets Bhd’s (BAssets) wholly owned subsidiary Berjaya Assets Alliance Sdn Bhd today subscribed for 2.6 million new shares in Jubli Mentari Sdn Bhd for RM5.20 million cash or at RM2.00 per share, increasing the BAssets group’s stake in the firm from 30% to 65%.
This makes Jubli Mentari a subsidiary of BAssets, the group said.
Jubli Mentari was incorporated in Malaysia on Jan 8, 2016 and has not commenced operations.
“It is the intention of Jubli Mentari to undertake a resort development project. Jubli Mentari has been offered to lease a parcel of land measuring about 15.975 acres for a lease period of 59 years in Langkawi, Kedah,” BAssets said in a stock exchange filing.
Berjaya Group Bhd, a subsidiary of Berjaya Corporation Bhd (BCorp) had a 30% stake in Jubli Mentari and following the completion of the subscription, the stake in JMSB was reduced to 15%.
The cash proceeds from the subscription will be utilised by Jubli Mentari to part-finance the lease payments and the working capital.
“The subscription provides an opportunity for the BAssets group to venture into property development,“ BAssets said.