leftright-investment

About the offer… On 4 th November 2010, UEM Land Bhd plans to take control of Sunrise Bhd in a RM 1.4bil deal. Shareholders of Sunrise are given 2 options: UEM Land to acquire Sunrise shares at RM2.80 via the issuance of UEM Land shares at RM2.10 each, or Sunrise shareholders get 2.80 redeemable convertible preference shares ( RCPS ) for every one offer share.   Why Sunrise? Reasons given by UEM Land were: Leveraging on Sunrise Group's robust financial strengths and prospects Accelerate UEM Land's own business expansion To secure new development projects And, to create another Capital Land (Singapore state-own company which is one of Asia's biggest property developers) After the deal is completed… UEM Group's shareholding in UEM Land will fall to around 60% Major shareholder of Sunrise will have stake of around 9% in UEM Land Sunrise will be delisted from Bursa Malaysia But, the brand name of Sunrise will be retained Creating an enlarged group with combine...

When the RM15.6 billions take-over news broke out, MMC share price has been rallying to multi-months high. It was reported that MMC is pairing with EPF and PNB with MMC holding a 40% stake of the consortium. On the other hand, Khazanah Nasional Bhd is the ultimate holding company of UEM Group Bhd . The Pull factors… PLUS Expressways, is one of the key assets that spark MMC interests? The national’s largest cash-generating toll-operator undeniably is Khazanah’s golden asset with 55.2% direct and indirect interest. UEM Land , which has a huge land bank in southern corridor – Iskandar Development Region. This is favorable to Johor based MMC’s investments. To boost its construction arm with stronger muscle? UEM Group is having several projects in Malaysia, such as the Penang Second Bridge. MMC can leverage on the latter expertise and also to gain market share, given the lack of domestic awards. What makes me interesting is the alternative MRT proposed by IJM-UEM recently. By acquir...