Quick take: LTKM shares jump 16% on privatisation offer

KUALA LUMPUR: LTKM Bhd shares jumped over 16% on Tuesday morning on news of an offer by managing director Datuk Tan Kok and his family have offered to take the company private.

The chicken egg producer rose 16.67%, or 19 sen to RM1.33, making it the top gainer on Bursa Malaysia. Year-to-date, the counter has gained 33%.

Tan and other joint offerers have made a conditional voluntary takeover offer to buy out minority shareholders at RM1.35 a share.

The offer values the company at RM175.5mil. Tan and joint offerers control 68.3% of the company.

Tan is the single largest shareholder of the company through his vehicle Ladang Ternakan Kelang Sdn Bhd.

The privatisation offer came as a surprise following the suspension of the counter last Friday.

LTKM said the offer price represents a 21.62% premium over its last transacted price of RM1.11 on July 18.

The joint offerors, who hold a total stake of 68.26% of the issued shares, said they do not intend to maintain the company’s listing status on the Main Market of Bursa Malaysia, upon completion of the takeover.

Source: TheStar