The FBM KLCI fell 3.31 points to 1,846.16. Turnover was 1.29 billion shares valued at RM629.78mil. There were 298 gainers, 351 decliners and 324 counters unchanged.
In an announcement on Friday, Sunway said SCG, its construction & precast business unit will have 1.293 billion share base where upon listing, Sunway will retain control of at least 51%.
The new SCG shares will be distributed by way of dividend-in-specie to Sunway’s shareholders, based on entitlement of one SCG share for every 10 Sunway shares held. Sunway’s shareholders will also enjoy a special cash dividend.
RHB Research said in a note that it was upbeat on Sunway’s value unlocking exercise to list SCG and maintained its Buy call on the stock, as well as a raised fair value of RM3.90.
"Assuming a 13 times listing P/E, we estimate that its shareholders will receive 25-30 sen special cash DPS, and one SCG share worth about RM1.21/share for every 10 Sunway shares held," it said.
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