Vincent Tan raises stake in 7-Eleven with RM25m purchase

Tan Sri Vincent Tan. -The Star filepic

KUALA LUMPUR: Tycoon Tan Sri Vincent Tan raised his shareholding in convenience store owner and operator 7-Eleven Malaysia Holdings Bhd with the purchase of 15.62 million shares.

A filing by Berjaya Assets Bhd (BAssets) on Friday stated that the shares, which represent a 1.41% stake, was disposed of by its unit Sublime Cartel Sdn Bhd to Tan's investment holding company True Ascend Sdn Bhd, in a direct business deal.

The total cash consideration was RM25mil or at RM1.60 a share in 7-Eleven.

Following the disposal, BAssets and its subsidiaries now hold 49.35 million 7-Eleven shares or  4.44%.

Tan is  a major shareholder of BAssets, 7-Eleven and True Ascend.

The price of RM1.60 per share was a premium of about 7.38% based on the five-day volume weighted average market price up to and including Thursday of RM1.49.

BAssets will use the proceeds from the disposal as working capital. The disposal also enabled it to  realise part of its investment.

“The average acquisition cost of the 7-Eleven shares is about RM1.45 per share, incurred since 2017 while the carrying amount of the shares in the books of the BAssets Group as at Feb 28, 2018 is about RM1.52 per share.

“The BAssets group is expected to record a gain of about RM1.25mil pursuant to the disposal,” it said.