This article first appeared in The Edge Financial Daily, on November 17, 2015.

KUALA LUMPUR: Sapura Resources Bhd (fundamental: 1.4; valuation: 2) said it is discussing a possible divestment of its education businesses, in response to Bursa Malaysia’s unusual market activity query earlier yesterday.

In its filing with the exchange, the group said it is unaware of the reason behind the rise in its share price recently, but noted that several news reports had highlighted Sapura’s stake in APIIT Education Group — which noted that state-backed private equity firm, Ekuiti Nasional Bhd, may buy out the remaining 49% in APIIT after buying 51% from Sapura Resources five years ago for RM102 million.

One of the reports was The Edge Financial Daily’s article entitled “Sapura Resources’ APIIT stake could be worth over RM400m”, published on Oct 29.

“The company is in the midst of discussion relating to a possible divestment of its education businesses, of which the terms have not been finalised at this juncture.

“The company will make the necessary announcement(s) in compliance with its obligations under the Main Market Listing Requirements of Bursa Securities if and when discussions have been finalised and the Company executes any definitive agreements,” it said.

Since mid-October, the counter has gained 61 sen or 60% to reach its closing of RM1.62 on Nov 13, from RM1.01 on Oct 15.

Yesterday, Sapura closed 6 sen higher at RM1.68.