Friday 29 Mar 2024
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KUALA LUMPUR (April 19): The Armed Forces Fund Board (LTAT) has bought a 7% stake in AHAM Asset Management Bhd from Nikko Asset Management International Ltd, which also transferred its remaining 20% equity interest to parent company Nikko Asset Management Co Ltd. 

The transaction was revealed by the TradePlus MSCI Asia ex Japan REITs Tracker — an exchange traded fund managed by AHAM — to Bursa Malaysia on Wednesday (April 19), but the price tag was not disclosed. 

“Notwithstanding the exercise, trading activities for the TradePlus exchange-traded funds shall continue as normal,” the stock exchange filing read. 

When contacted, LTAT confirmed the acquisition and said it was made in line with its investment strategy.

"This is in line with LTAT's investment strategy to rebalance its private equity portfolio as per the Strategic Asset Allocation Framework that anchors LTAT's investment activities," it said, but did not respond when asked how much the stake cost.

Parties involved in the transaction have not responded to requests for comment at the time of writing.

CVC Capital Partners Asia V is the largest shareholder of AHAM, owning a 68.35% stake via Starlight Asset Sdn Bhd. The remaining 4.65% interest is owned by key management personnel via Starlight Management Company (Jersey) Ltd. 

LTAT’s acquisition came less than a week after it divested a 4.95% stake in Affin Bank Bhd for RM221.74 million to the State Financial Secretary Sarawak last Thursday (April 13) to smoothen the privatisation of Boustead Holdings Bhd with fewer regulatory approval requirements. 

The latest development also signifies the return of LTAT as a shareholder of AHAM, as the asset management house was previously owned by Affin Bank before CVC’s RM1.54 billion acquisition last year. 

Edited ByIsabelle Francis
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