Sapura Energy raises RM4bil via rights issue


Kenanga Research said while the outlook is expected to improve from financial year 2020 (FY20) onwards, it has maintained its

PETALING JAYA: Sapura Energy Bhd has achieved its target to raise at least RM4bil from its rights issue exercise, even as some shareholders chose not to subscribe their portion of the shares.

The company, in a statement yesterday, said the rights share offerings that came with free detachable warrants were 81.5% subscribed. For its Islamic redeemable convertible preference shares, the group saw 100% valid acceptances.

“The remaining portion of the rights shares will be fully taken up by the appointed joint underwriters - Maybank Investment, CIMB Investment Bank and RHB Investment Bank,” it said.

Following the exercise, Permodalan Nasional Bhd (PNB) and its associated funds have emerged as the single largest shareholder with a combined 40% shareholding in Sapura Energy.

Sapura Technology Sdn Bhd, controlled by CEO Tan Sri Shahril Shamsuddin, remained a significant shareholder, being the second largest after PNB, with a direct and indirect shareholding of 16.3%.

Minority shareholders, comprising both local and foreign participation, will hold a total of 42.2%.

The participation from PNB and other shareholders provides a strong equity base for the group to chart and execute its growth strategy to deliver long-term prospects,” it said.

Sapura Energy has embarked on two corporate exercises to reduce its RM16bil debt and put the company back on a stronger balance sheet.

In tandem with the rights issue, the group will be forming a 50:50 strategic partnership with OMV AG, which will result in Sapura Energy receiving cash proceeds of up to US$975mil.

An EGM to seek shareholders’ approval for the proposed strategic partnership is set for Jan 28, 2019.

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