Tanah Makmur up after Tengku Mahkota of Pahang raises offer

KUALA LUMPUR (Oct 26): Tanah Makmur Bhd rose as much as 10 sen or 6% after its major shareholder, the Tengku Mahkota of Pahang Tengku Abdullah Sultan Ahmad Shah, upped his takeover offer for the company to RM1.90 a share from RM1.80.

Tengku Abdullah has proposed to privatise Tanah Makmur via a selective capital reduction and repayment exercise.

Shares of property-cum-plantation player Tanah Makmur climbed to their highest so far today at RM1.82. At 10:36am, the stock rose nine sen to RM1.81 for a market capitalisation of RM684.83 million.

Tanah Makmur was Bursa Malaysia's fourth-largest gainer.

Yesterday, Tanah Makmur said Tengku Abdullah upped his takeover offer for the company to RM1.90 after taking into consideration factors including the group's net assets per share.

The RM1.90 offer price is higher than Tanah Makmur's net assets per share of RM1.07 as at Dec 31, 2015, according to the company.

Tengku Abdullah and parties in concert collectively hold about 68.08% of Tanah Makmur. — theedgemarkets.com