Mega First taking RCI private

KUALA LUMPUR: Mega First Corporation Bhd is undertaking the privatisation of its listed 60.43%-subsidiary Rock Chemical Industries (Malaysia) Bhd (RCI) via a cash offer for remaining shares in the latter at RM2.10 each.

The irrevocable offer is at a 20% premium over the last traded price of RCI shares of RM1.75 before it was suspended last Thursday.

In a letter issued yesterday, Maybank Investment Bhd said the offer is being made by Mega First with wholly-owned subsidiaries Authentic Excellence Sdn Bhd and Geo-Mobile Asia Bhd. No reason was stated for the privatisation exercise.

Persons acting in concert with the offerors are Mega First chairman Goh Nan Kioh, group managing director Dr Lim Thian Soo, executive director Goh Nan Yang plus Lim Thiam Cheok, Lim Yam Poh and Yeow See Yuen.

“It is not the intention of the joint offerors to maintain the listing status of RCI,” Maybank said in the offer letter, which was also filed with Bursa Malaysia. It added that the deadline for the offer is to be announced later.

Meanwhile, RCI said its directors do not intend to seek any other person to make a competing or alternative take-over offer.

RCI is an investment holding company principally engaged in quarrying of limestone, processing and distributing industrial minerals, manufacturing of calcium silicate bricks, trading in building materials and chemical products, investment holding and provision of management consultancy services.