KUCHING: The Armed Forces Fund Board (LTAT), the pension fund for serving members of the Malaysian Armed Forces, is in discussions with the State Financial Secretary for possible transaction of additional shares in Affin Bank Berhad (ABB).
ABB said upon enquiry with LTAT, the major shareholder of the company, LTAT has informed that they are in discussions with the Sarawak State Financial Secretary on the matter.
“Any transaction that may result from the discussions will be done in accordance with the relevant rules and regulations,” it said in a filing with Bursa Malaysia dated Jan 8, 2024.
The bank said this in reference to an article published in The Edge Malaysia (the week of January 8 – January 14, 2024), which stated that the Sarawak State Financial Secretary is understood to be close to concluding a memorandum of understanding which will lead to a deal to acquire an additional stake in ABB from LTAT.
“Pursuant to the Companies Act, 2016 and Bursa Malaysia Securities Berhad’s (Bursa Securities) Main Market Listing Requirements, LTAT is obligated to inform ABB of any changes to their shareholding in compliance with the requirements or significant divestment of major shareholders.
“Similarly, any party who acquires an interest of 5 per cent or more will be required to notify ABB of the same.
“ABB will make an announcement upon receipt of the notification on any changes in shareholding involving its major shareholders,” the bank said.
The Sarawak State Financial Secretary owned 4.796 per cent shares of ABB as at Dec 29, 2023.
It was previously reported that the Sarawak government, via its investment arm State Financial Secretary Sarawak, has acquired a 4.95 per cent stake in ABB for about RM221.74 million.
ABB said LTAT has confirmed that it had on April 13, 2023 divested 112,558,000 ordinary shares in the bank, representing 4.95 per cent of the bank’s total issued shares, for a cash consideration of RM1.97 per share totalling approximately RM221.74 million to the State Financial Secretary Sarawak.
As at March 31, 2022, LTAT was the largest single shareholder of ABB, with a stake of 33.08 per cent.
