Hap Seng eyes lower gearing after stake disposal

KUALA LUMPUR: Hap Seng Consolidated Bhd expects to reduce its gearing ratio gradually to 0.32 times from the current 0.78 times after the disposal of a 20% interest in Hap Seng Credit Sdn Bhd and the entire stake in HSC Sydney Holding Ltd.  

Chairman Datuk Jorgen Bornhoft said the disposals would result in substantial gains for the group and unlock its shareholders’ value.  

“We have an extremely attractive offers (for both). For HSC Sydney, the gains will unlock value for our shareholders,” he told reporters after the group’s annual general meeting here today.

Recently, Hap Seng Consolidated announced that it had proposed to dispose of Hap Seng Credit and  HSC Sydney Holding to Hong Kong-based Lei Shing Hong Capital Ltd for RM1.68bil.

The proposals are expected to be completed by the second quarter of 2018. - Bernama

Corporate News , Hap Seng