KUALA LUMPUR (Jan 15): Selangor Properties Bhd's (SPB) major shareholder Kayin Holdings Sdn Bhd revised its proposed selective capital reduction and repayment (SCR) offer price to RM6.30 from RM6 for each SPB share to privatise the company.

SPB said today in a filing to Bursa Malaysia that consequent to the SCR offer price revision, entitled shareholders will receive capital repayment of RM687.77 million which represents a cash repayment of RM6.30 for each SPB share.

"The issued share capital of SPB will be reduced by up to RM687.77 million pursuant to the proposed SCR. In view that the issued share capital to be reduced is higher than the existing issued share capital of SPB of RM545.37 million, SPB will undertake a bonus issue of up to 382.09 million bonus shares by way of capitalising up to RM382.09 million from the retained earnings of the company, in order to increase the share capital of SPB up to a level which is sufficient for the capital reduction.

"The proposed bonus issue is proposed purely to facilitate the implementation of the proposed SCR," SPB said. At 12:30pm, SPB shares rose one sen to settle at RM5.76.

This is the second time Kayin revised its SPB SCR offer price. When the privatisation offer was first announced on Oct 25, 2018, Kayin had offered RM5.70 for each SPB share.

According to SPB's statement today, SPB on Dec 17, 2018, announced that its board received a revised proposal letter from Kayin, informing that the offer price for the SPB shares had been revised from RM5.70 to RM6.