PETALING JAYA: Conglomerate Sime Darby Bhd, which owns a 22.2% stake in property developer Eastern & Oriental Bhd (E&O), has agreed to sell a 10% stake at a lower price to E&O group managing director Datuk Seri Terry Tham than the price they agreed on in early June.
Sime Darby said in a stock exchange filing that SD Nominees and PSSB had agreed to revise the sale price of the stake to RM323.3mil or RM2.45 per share in E&O. The price for the convertible warrants remains at 30 sen per warrant.
This compares to the RM2.60 per share and 30 sen per convertible warrant that they had earlier agreed on with the disposal consideration totalling RM342.2mil.
This would be the second tranche of shares that Tham would be acquiring back from Sime Darby. He bought 9.9% or 110 million shares in 2014 at RM2.90 per share. Sime Darby had emerged as E&O’s largest shareholder in 2011 when the conglomerate bought a 30% block of shares at close to 60% premium to the market.
He told StarBiz in June following the announcement of the deal to buy the second tranche that the shares would be bought through bank financing, as was done with the first tranche.
E&O’s most prominent project, Seri Tanjung Pinang, a township located on Penang’s northeast coast saw the launch of the final properties of the first phase last year. The company has been given the right to reclaim another 760 acres for the second phase.
