BAuto sees 58.9 million shares sold off-market

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KUALA LUMPUR: Berjaya Auto Bhd (BAuto) yesterday saw 58.9 million shares or a 7.3% stake in the automotive distributor sold off-market at RM3.20 a piece, according to Bloomberg data.

According to an industry source, the transaction was done by merchant bankers representing Berjaya Corp Bhd (BCorp), which is controlled by tycoon Tan Sri Vincent Tan.

Since BAuto’s listing two years ago, BCorp, through its wholly-owned subsidiary Berjaya Group Bhd, has been disposing of its shares in the company. It trimmed its shareholding of 542.88 million shares or an equity interest of 64.41% of its initial public offering (IPO) in November last year to 356.88 million shares or a 44.16% stake as at Nov 12 this year.

BAuto’s share price since listing has been on an upward trend. From its IPO price of 70 sen, it  shot up to RM1.76 on its first day of trading on Nov 18 last year. It reached a record high of RM3.69 on Nov 3 this year.

It closed 14 sen or 4% lower to RM3.36 yesterday, giving it a market capitalisation of RM2.72 billion.

 

This article first appeared in The Edge Financial Daily, on November 26, 2014.