CCB Shares Accelerate Like Mercedes

thecekodok

 Shares of Cycle & Carriage Bintang Bhd (CCB) rose in this morning's trading session after its share price jumped 29.76% or 50 sen to RM2.18 following the decision of its largest shareholder to privatize the company.


At RM2.18, CCB has a market capitalization of RM169.25 million. The company saw about 138,800 shares change hands.


CCB shares rose 24.57% year -on -year.


CCB was the second most profitable counter on Bursa Malaysia at the time of this writing.



Yesterday, the company informed Bursa Malaysia that its largest shareholder, Jardine Cycle & Carriage Ltd (Jardine CCL) had made a new offer to privatize CCB at RM2.40 per share.


Jardine CCL has a 59.1%stake, representing 59.54 million shares in CCB.


On 11 November 2019, Jardine CCL offered to buy the interests of the company's minority shareholders through a proposed capital reduction and selected repayments at a price of RM2.20 per share.


However, last year, Jardine CCL failed in its efforts to privatize the company after a handful of shareholders were not interested in opting for a selective capital reduction.


The unconditional voluntary takeover offer to be fulfilled in cash is a premium of 6 sen or 2.56% to CCB's net assets of RM2.34 per share.

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