KUALA LUMPUR, Aug 24 — Kuala Lumpur Kepong Bhd’s (KLK) shares declined 0.44 per cent on the proposed acquisition of Boustead Plantations Bhd (BPlant) from Boustead Holdings Bhd (BHB) for RM1.15 billion.

At 4pm, KLK shed 10 sen to RM22.40, with 1.12 million shares traded.

In a filing with Bursa Malaysia today, KLK proposed to acquire 739.20 million or 33 per cent and one share of BPlant for RM1.15 billion.

The plantation company also proposed a mandatory take-over offer to acquire all the remaining BPlant shares not already owned by KLK, BHB and Lembaga Tabung Angkatan Tentera (LTAT).

The proposed mandatory offer states RM1.55 per BPlant share with the offer price of RM3.47 billion.

Currently, BHB holds a 57.42 per cent stake in BPlant and LTAT holds a 10.59 per cent stake.

On completion of the proposed acquisition, KLK’s shareholding in BPlant will rise from nil to 33 per cent and one share, while BHB and LTAT will collectively retain their remaining interest of about 35 per cent.

KLK said both the acquisition and mandatory offer are expected to be completed in the fourth quarter of 2023. — Bernama