PETALING JAYA: Mudajaya Group Bhd
’s shareholders have been advised to vote in favour of the proposed disposal of a 45% stake in Real Jade Ltd to major shareholder Minyi Holdings Ltd (MHL) for HK$234mil (RM118.45mil) to settle debts owed to MHL.
In a circular dated Oct 21, independent adviser SCS Global Advisory (M) Sdn Bhd said the proposed disposal was “fair and reasonable and not detrimental to the interests of non-interested shareholders.”
It recommended that shareholders vote in favour of the resolution at the company’s EGM on Nov 5.
SCS Global said the proposed consideration was above the net asset-based valuation of HK150.49mil by independent business valuer Asia Equity Research Sdn Bhd but within the HK224.68mil to HK$248.45mil range derived using the free cash flow to firm method.
The proposed disposal, which was announced in May, involves Mudajaya’s unit Xelmont Ltd selling the stake to MHL.
Upon completion, Mudajaya will retain an indirect 55% interest in Real Jade, which is involved in cement manufacturing, sales and trading in China.
