Vsolar acquires stakes in property developers Meridian and Symphony Life for RM15m cash
TheEdge
KUALA LUMPUR (Sept 10): Vsolar Group Bhd has acquired stakes in property developers Meridian Bhd and Symphony Life Bhd for a total of RM15.17 million.
In a filing, Vsolar said it has acquired 32.5 million shares or a 4.31% stake in Meridian at an average price of 18 sen per share, for a total cash consideration of RM5.92 million, from the open market.
The group said the stake acquisition was done via Vsolar's wholly-owned subsidiary, CubeTech Asia Sdn Bhd, on Sept 3 and Sept 6.
The group added Meridian's core activities and its subsidiaries are property development and investment of properties.
"The board is of the opinion that the investment represents a good investment opportunity for Vsolar Group.
"The consideration paid for the investment was funded entirely by internally generated funds of Vsolar and its subsidiaries (Vsolar Group)," it said.
In a separate Bursa Malaysia filing, Vsolar also announced that it has acquired 15.73 million shares or a 2.33% stake in Symphony Life at an average price of 58 sen per share, representing a total cash consideration of RM9.25 million, from the open market.
It said the stake acquisition was done via CubeTech Asia on three consecutive days beginning from Sept 6 to Sept 8.
"Symphony has weathered several economic downturns, survived remarkably and delivered more than 20,000 properties throughout the country.
"The board is of the opinion that the investment represents a good investment opportunity for Vsolar Group.
"The consideration paid for the investment was funded entirely by internally generated funds of Vsolar and its subsidiaries (Vsolar Group)," it said.
According to the group's website, Vsolar Group is an investment holding company which is mainly engaged in the production of renewable energy, media publishing, software solutions and related services.
Shares in Meridian ended one sen or 6.06% higher at 17.5 sen, valuing the property developer at RM133.53 million. Year to date, the stock has dropped by 55.13% from 39 sen recorded in January.
Meanwhile, shares in Symphony Life settled 0.5 sen or 0.87% lower at 57 sen, giving it a market capitalisation of RM384.43 million. Year to date, the stock has risen by merely 1.79%.
Separately, shares in Vsolar Group finished unchanged at 1.5 sen, valuing the company at RM68.5 million. Since the beginning of the year, the stock has fallen by 62.5%.
http://www.theedgemarkets.com/article/vsolar-acquires-stakes-property-developers-meridian-and-symphony-life-rm15m-cash
