Tadmax’s disposal of Tadmax Power to 1MDB delayed

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KUALA LUMPUR: Tadmax Resources Bhd has announced that the completion date of the proposed disposal of its unit Tadmax Power Sdn Bhd (TPSB) to a wholly owned unit of 1Malaysia Development Bhd (1MDB) for RM317.3 million cash has been extended.

In a filing with Bursa Malaysia this evening, Tadmax said the completion date “has yet to be fulfilled on Oct 10”, and it is presently in discussion with Ivory Merge Sdn Bhd, who has requested to extend the completion date to a date on or before Oct 31.

“The company is also in the process of clarifying certain issues with Ivory Merge and an announcement will be made accordingly to Bursa,” Tadmax said.

To recap, Tadmax had on Feb 20 entered into a share sale agreement with 1MDB’s unit Ivory Merge to dispose of the entire issued and paid-up share capital of TPSB for RM317.3 million. 

TPSB, its wholly owned subsidiary, is currently the registered and beneficial owner of a piece of vacant leasehold land measuring approximately 310 acres in Pulau Indah, Klang, Selangor. 

Ivory Merge is a wholly owned unit of Ivory Point Ltd, of which its ultimate shareholder is 1MDB. 

Previously, both Tadmax and Ivory Merge have mutually agreed to vary the completion date from the unconditional date on Aug 20 to a date on or before Sept 30, and again to a date on or before Oct 10. 

Tadmax closed down 0.5 sen or 1.25% to 39.5 sen, giving it a market capitalisation of RM149.10 million.