KUALA LUMPUR: Rivertree STF Synergies Bhd (RSSB) has proposed to acquire shares in Rivertree Landmark Sdn Bhd (RLSB) and Rivertree Signatures Sdn Bhd for RM46.28 million.
In a filing with Bursa Malaysia, RSSB said it plans to acquire 33.10 million ordinary shares in RLSB, equivalent to 100 per cent equity interest in RLSB from Datuk Leong Sai Mun, Soon Kian Cheong, Ong Choong Leo, Choong Yoke Far and Benjamin Fong Hian for RM32.71 million.
It also proposes to acquire 2.0 million ordinary shares in Rivertree Signatures -- representing a 100 per cent equity interest in the company -- from Datuk Leong Sai Mun and Choong Yoke Far for RM13.57 million, to be satisfied entirely via cash.
RSSB has also entered into a conditional share sale and purchase agreement with a purchaser to dispose of its 250,000 shares in Irama Setia Sdn Bhd (ISSB) for RM12.97 million, to be satisfied entirely in cash.
"Upon completion of the proposed disposal, ISSB shall cease to be a subsidiary of RSSB,” it said, adding that the group is expected to record an estimated one-off pro forma loss on disposal of approximately RM0.39 million after deducting all fees, costs and expenses related to the proposed disposal.
The proposed disposal allows the group to streamline its asset portfolio and focus its resources on existing ongoing projects, as well as prospective projects, including those arising from the proposed acquisitions.
The group noted that the proposed acquisitions are in line with its strategy to continuously evaluate and pursue suitable opportunities to expand its property development business.
"RSSB has identified RLSB and Rivertree Signatures as strategic acquisition targets as RLSB holds Subject Property 1 while Rivertree Signatures has joint development rights in Subject Property 2, which are earmarked for serviced apartment developments,” it added. - Bernama
