OSK Holdings serves notice on takeover offers


Strategic exercise: An artist’s impression of one of OSK Property’s projects called Pangaea in Cyberjaya that is due to be completed by 2020. OSK Holdings is offering RM1.95 per share for the remaining 67.45 million OSK Property shares not held by it and parties acting in concert.

OSK Holdings Bhd has served a notice of unconditional mandatory takeover offer to OSK Property Holdings Bhd and a conditional voluntary takeover offer to PJ Development Holdings Bhd (PJD) to acquire the shares in both property firms that it does not own.

In a filing with Bursa Malaysia, OSK Holdings said the offer to OSK Property had turned unconditional yesterday.

OSK Holdings is offering RM1.95 per share for the remaining 67.45 million OSK Property shares not already held by it and parties acting in concert.

This is 27.5% of the issued and paid-up share capital of OSK Property as of July 16.

OSK Holdings is also offering RM1 each for all the remaining outstanding 18.96 million, or 18.7%, OSK Property warrants C 2012/2017 it does not own.

Meanwhile, the other proposal entailed the acquisition of all the remaining 310.45 million shares of PJD, representing 68.4% of the issued and paid-up capital of PJD, for RM1.56 per share. It is also offering 60 sen per warrant for all the remaining outstanding 211.35 million PJD warrants C 2010/2020 not already owned by OSK Holdings.

Early this month, OSK Holdings had obtained shareholders’ approval for the proposed acquisition of OSK Property and PJD.

Under the exercise, OSK Holdings would acquire 72.4% of shares in OSK Property for RM346.4mil or RM1.95 per OSK Property share.

The other part of the proposal is for OSK Holdings to buy a 31.6% equity interest in PJD for RM223.64mil or RM1.56 per share.

The exercise would see OSK Holdings emerging as a first-tier property company in Malaysia with a total gross development value of RM13.3bil.

It would have landbank totalling 1,297 acres in Malaysia and five more acres in Melbourne, Australia.

The company has about RM1.5bil in unbilled sales that would provide a steady pipeline of revenue growth. It also has new projects coming onstream. - By The Star