MMC Corporation Bhd will be privatised by Seaport Terminal (Johore) Sdn Bhd, MMC’s controlling shareholder, through a selective capital reduction and repayment (SCR) exercise. The SCR will be held at the rate of RM2 per share. The offer price is 53 per cent more than the latest trading price of RM1.30. This offer price is based on the closing and volume weighted average market price of MMC shares when the trading closed on May 28, 2021.
Seaport Terminal owns 51.76 per cent stake in MMC Corporation. A total capital repayment of RM2.94 billion will be issued to entitled shareholders. The exercise will also allow these shareholders an opportunity to cash out and realise their MMC investments at a rate above the current market price.
Johor Port, the Port of Tanjung Pelepas, Northport in Klang, Penang Port are among MMC’s significant assets. It also owns Gas Malaysia Bhd, a gas supplier and Malakoff Corporation Bhd, an independent power generator.