PLS announced plans to place out up to 10% of its issued share capital, with the aim to raise a minimum of RM37.97mil or a maximum of RM53.43mil for business expansion, especially in its durian business.
PETALING JAYA: PLS Plantations Bhd
’s upcoming private placement exercise will be taken up by several high-profile individuals including Citaglobal Bhd single-largest shareholder Tan Sri Mohamad Norza Zakaria and former Khazanah Nasional managing director Tan Sri Shahril Ridza Ridzuan.
In a filing with Bursa Malaysia, PLS announced plans to place out up to 10% of its issued share capital, with the aim to raise a minimum of RM37.97mil or a maximum of RM53.43mil for business expansion, especially in its durian business.
The private placement is also undertaken to ensure that the agro-food player complies with the stock exchange’s requirement of having at least 25% public shareholding spread.
As at Dec 30, 2022, the group’s shareholding spread was 12.26%.
However, with the new placement shares, PLS’ public shareholding spread will increase to 20.24%, partially addressing the shortfall.
PLS said five parties would collectively take up a stake of 4.45% via the private placement exercise at 95 sen per share, while about 5.55% of the placement shares will be issued to third-party investors to be identified later.
The 95 sen price represents a discount of 7.08% based on the five-day volume weighted average market price up of PLS shares until Jan 20.
PLS has signed conditional subscription agreements with the five parties.
Mohamad Norza, former Umno supreme council member and the current president of Badminton Association of Malaysia, will subscribe to 10 million new PLS shares for RM9.5mil, representing 1.78% of the total number of issued shares.
Shahril, who is currently the chairman of Axiata Group Bhd, will be investing RM4.75mil to take up a stake of 0.89%.
Mirus Holdings Sdn Bhd will acquire a similar stake via the private placement exercise. Mirus is majority owned by Calvin Lau Chuen Yien.
Datuk Eric Tan Chwee Kuang, who is the co-founder of Michong Metaverse group of companies, is taking up a 0.53% stake for an investment of RM2.85mil.
Meanwhile, Reservoir Link Energy Bhd executive director Thien Chiet Chai is the fifth party to subscribe to the PLS share placement, buying a 0.36% stake for RM1.9mil.
