KUALA LUMPUR (Dec 2): Koperasi Permodalan Felda Malaysia 2 Bhd (KPF2) has become a major shareholder of TAFI Industries Bhd after acquiring a 10.21% stake in the latter. 

According to a stock exchange filing, KPF2 acquired 12.65 million shares in TAFI in a direct transaction from TAFI's major shareholder Armani Synergy Sdn Bhd. 

Of the 12.65 million shares, 6.18 million were acquired on Monday (Nov 29) and another 6.46 million on Thursday (Dec 2). 

The price of the transactions was not disclosed. 

Tafi is mainly engaged in manufacturing and trading of furniture for export and local markets and has also diversified into real estate development and construction. 

KPF2 invests primarily in equities, real estate, trading and agribusiness. KPF2's board of directors is headed by chairman Mahadzir Mustafa, who is assisted by his secretary Erwan Aman, treasurer Mohd Zaidi Malik and nine other board members.

In a separate statement, TAFI group managing director Datuk Seri Azlan Azmi said KPF2's investment was a vote of confidence in the long-term prospects of the group's furniture and property development business and that the group would strive to deliver the highest possible returns to its stakeholders and investors.

"We expect KPF2 to seek representation on TAFI's board in due course and we look forward to a more unbiased view in the board's deliberations and evaluation of the company's performance and business strategies. We are confident that the inclusion of KPF2 in TAFI as a substantial shareholder will also lead to synergies as TAFI will be able to market its furniture products and real estate offerings to KPF2's members.

"KPF2 members will also be able to purchase our furniture products under subscription plans through TAFI's collaboration with OMG Free Reno Sdn Bhd, which offers subscription plans for furniture delivery and renovation services," Azlan added.

TAFI’s shares rose 11.17% or 23 sen to close at RM2.29, valuing the group at RM283.81 million. It saw some 17.48 million shares changed hands. The stock has soared 263% year-to-date.