WHAT scuttled the deal for either Malayan Banking Bhd or CIMB Group to get RHB Capital Bhd, without so as much as announcing a bid, is the questionable practice of allowing foreign parties to take “strategic” stakes in local banks at premium prices.
That, and the Securities Commission's (SC) raising of shareholder approval to 75% for sale of assets and liabilities of a company. Previously, a simple majority was enough a loophole which many listed companies used to circumvent the much higher requirements under the Takeover Code.