Delisting risks still cloud FGV

Investors could be buying up FGV shares, hoping Felda may be willing to offer a higher price to takeover the company at a later date.

KUALA LUMPUR: Given that delisting risks remain for FGV Holdings Bhd (FGV), CGS-CIMB Research is keeping a “hold” call on the planter with a target price of RM1.30 premised on the previous takeover offer price and in anticipation that the Federal Land Development Authority (Felda) would still pursue a delisting.

“Until Felda reveals its intent for FGV’s listing status, we keep our hold call, ” the research house said.