KUALA LUMPUR (April 14): Tenaga Nasional Bhd (TNB) rose as much as 2 sen or 0.14% to RM14.46 on the back of its plan to privatise port operator Integrax Bhd.

TNB (fundamental: 1.3; valuation: 1.8) went up to a high of RM14.52 but gave up the gains and settled at RM14.46 as at 10.20am. A volume of 850,100 units changed hands.

TNB had announced that it has received valid acceptances amounting to 292.74 million shares, representing a 97.32% stake in Integrax (fundamental: 1.65, valuation: 1.4) at the closing date of its revised and final offer for the port operator yesterday.

It will proceed to exercise its rights to compulsorily acquire the remaining shares in Integrax within two months yesterday.

The takeover will give TNB full control over the Lumut Port and therefore strengthen its security of coal supply to its Janamanjung power plants and its scheduled capacity expansion plans.

Integrax will be suspended from April 21.

On Jan 9, TNB initiated a takeover offer for the remaining shares in Integrax at RM2.75 a unit. The offer price was subsequently raised to RM3.25 after other major Integrax shareholders argued that the price was not high enough.

(Note: The Edge Research's fundamental score reflects a company’s profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)