Puncak Niaga: No decision on sale of stakes

KUALA LUMPUR: Puncak Niaga Holdings Bhd held a special board of directors (BOD) meeting yesterday to deliberate on the offers made by Kumpulan Darul Ehsan Bhd (KDEB) to acquire its stakes in two water assets, but was unable to reach a final decision.

In a filing with Bursa Malaysia, Puncak Niaga said after full deliberation and after considering the advice of its adviser, Hong Leong Investment Bank Bhd, on the matter, the company was unable to reach a final decision to even consider giving approval in principle to KDEB's offers.

This was in view of the incomplete and inconclusive nature of the offers from KDEB as well as the posi-tion taken by Pengurusan Aset Air Bhd (PAAB).

On Monday, Puncak Niaga said PAAB declined to comment on the consolidation of the various entities in Selangor nor appraise the valuation principles as prescribed by KDEB in its offer letters.

PAAB, in its letter to Puncak Niaga, also stated that it was not involved, consulted or made privy to the offers made by KDEB to Puncak Niaga.

Given these circumstances, Puncak Niaga said its BOD is also not ready to convene a general meeting for the purpose of tabling the KDEB offers to its shareholders for consideration.

Puncak Niaga said at yesterday's meeting, which was not attended by its executive chairman and major shareholder Tan Sri Rozali Ismail, its directors also decided that the company is willing to hold discussions with KDEB on the offers, subject to KDEB's readiness to provide definitive answers to all issues raised by the company.

Puncak Niaga said it has sent a letter to KDEB to inform about the decision of the meeting.

KDEB, on behalf of the Selangor government, had made the offers to acquire Puncak Niaga's 100 per cent stake in Puncak Niaga (M) Sdn Bhd and 70 per cent stake in Syarikat Bekalan Air Selangor Sdn Bhd.

Meanwhile, Kumpulan Perangsang Selangor Bhd (KPS) announced that it has accepted in principle the indicative terms and conditions of the offers from KDEB to acquire its 90.83 per cent stake in Titisan Modal (M) Sdn Bhd and 30 per cent stake Syarikat Pengeluar Air Selangor Holdings Bhd (Splash).

In a filing to Bursa Malaysia, KPS also stated that it is not seeking alternative bids for the company's equity holdings in Titisan and Splash. Bernama