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Singapore's GIC selling Sunway stake worth more than US$120m: term sheet
[KUALA LUMPUR] Singapore's sovereign wealth fund, GIC Pte Ltd, is selling a stake worth more than RM400 million (US$120 million) in Malaysia's property-to-construction conglomerate Sunway Bhd, according to a term sheet seen by Reuters on Tuesday.
The shares are being priced in a range between RM3.20 and RM3.30 each, the term sheet showed, representing a discount of 1.5 per cent to 4.5 per cent to Tuesday's closing price of RM3.35.
Sunway officials were not immediately available for comment.
Sunway, controlled by Malaysian tycoon Jeffrey Cheah, in September announced plans to re-list its construction business by the second quarter of 2015, a move analysts said would further unclock value and reward Sunway shareholders in the form of cash dividends.
GIC would cease to be a substantial shareholder in Sunway. GIC holds a stake of 8.72 per cent in the company, according to Thomson Reuters data, and it is selling a stake of 7.26 per cent with an upsize option to sell the rest, according to the sheet.
CIMB and JP Morgan are the joint bookrunner on the sale, the term sheet showed.