Jaks fails again in bid to stop RM50m payout to Star Media

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KUALA LUMPUR (Nov 14): Jaks Resources Bhd said the Court of Appeal has dismissed its appeal to restrain a payout of a RM50 million bank guarantee to Star Media Group Bhd.

The appellate court upheld the High Court’s judgment on July 12 that the payment be made within five working days, the group said in a filing with Bursa Malaysia.

Jaks said it has instructed its solicitors to file urgent applications for leave to appeal to the Federal Court against the decision of the Court of Appeal and for injunctive relief pending hearing of the leave application.

The bank guarantee is in relation to an agreement between Star Media and Jaks' subsidiary, Jaks Island Circle Sdn Bhd, for the latter to develop a 15-storey tower within the Pacific Star development in Section 13, Petaling Jaya.

Jaks’ share price declined 1.5 sen or 1.66% to 89 sen today, giving the power generation, construction and property development group a market capitalisation of RM485.89 million.

Star Media, meanwhile, gained 0.5 sen or 0.62% to close at 80.5 sen, valuing the media group at RM593.99 million.