PRG takeover of Roopi Medical may not happen

The 20-year contract secured by its unit Metro Parking Management Philippines Inc would also include the construction of an additional 208-bays of steel deck parking structure in MBP - a bustling business hub in the affluent suburb near Alabang Town Centre, one of Metro Manila

PETALING JAYA: It looks like PRG Holdings Bhd’s proposed acquisition of Roopi Medical Centre Sdn Bhd may not take off, as the conditions precedent for the acquisition have not been fulfilled within the stipulated period.

In a filing to Bursa yesterday, PRG said the conditions precedent as stipulated in the share sale agreement and properties sale and purchase agreements have not been fulfilled by June 19, being the last date by which the conditions precedent must be fulfilled.

“The parties are in the midst of discussion on amongst others, an extension of time for the fulfilment of the said conditions precedent.

“In the event the parties are not able to agree upon the proposed extension, the parties would have been entitled to terminate the share sale agreement and properties sale and purchase agreements by issuing a notice of termination to the other party,” PRG said.

The relevant announcement will be made once the parties to the agreements have reached a definitive agreement on the proposed extension.

In January, PRG announced that it is making an entry into the healthcare business in Malaysia, with the proposed acquisition of Roopi Medical Centre and its properties for a cash consideration of RM18.3mil.

From this sum, RM7.3mil is for the equity interest in Roopi Medical Centre, while RM11mil is for two properties in Kuala Lumpur owned by Linecom Corp Sdn Bhd, which is in turn owned by common shareholders of Roopi Medical Centre.

Roopi Medical Centre’s facilities include four consultation rooms, three operating theatres, five nursery rooms and a total of 37 beds.

Apart from Roopi, PRG had at the same time also entered into an MoU with Esther Postpartum Care Sdn Bhd (EPC) for the sale and purchase of 25% of the issued and paid up share capital in EPC for RM3.75mil.

Confinement services provider EPC is part of the Dun Nan True Love Group, one of the most successful postpartum care services providers in Taiwan.

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