KUCHING: Naim Holdings Bhd’s major shareholders Datuk Amar Abdul Hamed Sepawi (pic) and Datuk Hasmi Hasan have increased their combined equity interest in the company to about 63.32 percent from 40.02 percent upon completion of its rights issue exercise last Friday.
Also Naim chairman, Abdul Hamed now owns 126.06 million Naim shares or about 25.18 percent in the enlarged company’s issued capital as compared to 37.7 million shares or 15.92 percent before the rights issue.
He has direct holding of 32.55 million shares (6.5%) and indirect holdings of 93.5 million shares (18.67%) via private vehicles Lembah Rakyat Sdn Bhd and Tapak Beringin Sdn Bhd, according to the company’s filing with Bursa Malaysia.
The rights shares totalling 263,799,322 units, which represented 74.22 percent of the subscription rate, were listed on Bursa Malaysia last Friday. As the total number of rights shares priced at 45 sen each and on the basis of three rights shares for every two existing shares available for subscription was 355,416,000 units, the under-subscription rate was, therefore, 25.78 percent.
Naim’s issued capital has shot up close to 513.8 million shares post-right issue from 250 million shares previously.
The fund raising exercise netted gross proceeds of RM118.7 million, which was higher than the minimum target of RM100 million. The bulk of the funds raised would be chanelled to finance the group’s three key property developments.
Hasmi, also a group managing director has his stake in Naim jumped to 190.99 million units or about 38.1 percent from 57.12 million units or 24.1 percent previously. His total holdings comprise direct interest of 55.73 million shares (11.13%) and indirect interest of 135.26 million shares or 27.01 percent via three companies – Hasmi & Associates Management Sdn Bhd, Island Harvest Sdn Bhd and Lambaian Kukuh Sdn Bhd.
Besides subscribing for their respective entitlements totalling 142.24 million rights shares, Abdul Hamed, Hasmi and persons acting in concert (or their respective companies) have subscribed an additional 79.98 million excess rights shares not taken up by the entitled shareholders. They have committed to subscribe for the excess rights shares to make sure that at least RM100 million could be raised from the corporate exercise.
There was valid acceptance of 173,435,325 rights shares or 48.8 percent and excess subscription of 90,363,997 rights shares or 25.42 percent, making a total subscription rate of 74.22 percent.
Abdul Hamed, Hasmi and PACs collectively owned about 94.83 million or 40.02 percent of the company issued capital of 250 million shares (excluding treasury shares) before the proposed rights issue.
Naim will utilise the money raised from the rights issue to reduce the group bank borrowings which stood at RM545.4 million as at Dec 31,2017, and to finance its three major residential development projects. These projects are the Kuching Paragon at Jalan Batu Lintang, Bintulu Paragon and Bandar Baru Permyjaya in Miri.
The Kuching Paragon involves on-going development of “Sapphire On The Park” condominium with gross development value (GDV) of about RM190 million.
The project comprises three towers, which would house a total of 427 units. The first 18-storey tower has been completed and owners have moved into their new homes while the second 18-storey tower is more than 40 percent completed. Construction works has started on the third tower which is expected to be ready in the first quarter of 2021.
Under the Bintulu Paragon, a proposed 34-storey condominium called “The Peak” is currently in advanced construction. With GDV of RM150 million, the condominium project is due to be completed in the second quarter this year.
The on-going development in Bandar Baru Permyjaya involves Southlake project spanning 450 acres and with an estimated GDV of RM180 million. The project involves the construction of different types of residential units, which are currently in various stages of work progress.
Naim has plans to launch more affordable and medium-priced residential development with GDV of RM70 million in Southlake for scheduled completion in first quarter-2021.
The developer has sold more than 9,000 units of properties with estimated GDV of about RM2 billion in the Permyjaya flagship development. Another 660 acres of land there are slated for development over the next 15 years or beyond. -Alvin Tang
