UEM to sell PLUS and hang on to Renong?

UEM plans to ride roughshod over minority shareholder rights by selling part of its PLUS holding rather than exercising its put option on a Renong stake.

United Engineers Malaysia UEM is allegedly turning a blind eye to the best interests of its minority shareholders for the greater good of the Renong group once again. The company is planning to sell 25% to 35% of toll road operator Projek Lebuhraya Utara Selatan PLUS through an initial public offering IPO later this year for as much as M$4 billion $1.05 billion, which would be the most money ever raised in a Malaysian listing.

Of the proceeds, M$3 billion is earmarked to pay down UEM's share of a M$8.4 billion seven-year bond, which was issued last year. This share is equivalent to the M$2.4 billion plus interest costs...

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222