KUALA LUMPUR (May 21): In response to recent news reports, MAA Group Bhd said the offer price made by Melewar Industrial Group Bhd to privatise MAA is not set in stone. 

It referred to articles published by The Star Bizweek on May 18 and The Edge Malaysia weekly on May 20, which suggested the offer price of RM1.10 via a selective capital reduction (SCR) repayment cannot be revised.

“The board wishes to clarify that the rules (of the Takeover Code issued by the Securities Commission) do not impose any restriction on revisions to the offer price under the proposed SCR,” MAA said in a filing with Bursa Malaysia today. 

“As such, the joint offerors may, at their discretion, propose a revised offer price, provided that all parties involved (including the independent adviser and the shareholders of the company) are given sufficient time to consider the revised offer price, prior to the extraordinary general meeting or any adjournment thereof,” it added. 

The Star Bizweek article had said, “MAA, in email replies, tells Star BizWeek that under the Takeover Code issued by the Securities Commission, the offeror of the SCR is not allowed to revise the price.” 

However, MAA had said that this statement was not made by the board or the company. 

Meanwhile, The Edge weekly had quoted Melewar executive chairman Tunku Datuk Yaacob Khyra as saying that ‘the offer price cannot be changed, as the circular is already out’, and also that “there is no way to change it — Melewar can only make another offer in 12 months”. 

Tunku Yaacob, via Melewar, controls 38.67% of MAA and is its only substantial shareholder, The Edge weekly reported. 

He had also told the publication that minority shareholders should account for the fact that MAA is a Practice Note 17 company and risks being delisted. 

Shares of MAA declined 4 sen or 3.92% today to a month-low of 98 sen, leaving the group with a market capitalisation of RM268.05 million.