Singapore's GIC selling Sunway stake worth more than $120 mln - term sheet

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KUALA LUMPUR (Nov 4): Singapore's sovereign wealth fund, GIC Pte Ltd, is selling a stake worth more than 400 million ringgit ($120 million) in Malaysia's property-to-construction conglomerate Sunway Bhd, according to a term sheet seen by Reuters on Tuesday.

The shares are being priced in a range between 3.20 and 3.30 ringgit each, the term sheet showed, representing a discount of 1.5 percent to 4.5 percent to Tuesday's closing price of 3.35 ringgit.

Sunway officials were not immediately available for comment.

Sunway, controlled by Malaysian tycoon Jeffrey Cheah, in September announced plans to re-list its construction business by the second quarter of 2015, a move analysts said would further unclock value and reward Sunway shareholders in the form of cash dividends.

GIC would cease to be a substantial shareholder in Sunway. GIC holds a stake of 8.72 percent in the company, according to Thomson Reuters data, and it is selling a stake of 7.26 percent with an upsize option to sell the rest, according to the sheet.

CIMB and JP Morgan are the joint bookrunner on the sale, the term sheet showed. ($1=3.3280 Malaysian ringgit)