MARKET DEVELOPMENT
Malaysia's Sime Darby Launches $570 Mln Share Sale
Malaysia's Sime Darby Launches $570 Mln Share Sale
05/10/2016 (Reuters) - Malaysian palm oil company Sime Darby Bhd launched a share placing on Tuesday worth up to 2.36 billion ringgit ($572 million) in what could be the country's biggest equity capital market deal so far this year.
The sale of 316.4 million shares was priced in the 7.40-7.45 ringgit per share range, Thomson Reuters' IFR reported.
IFR said the sale would be the second largest equity markets deal in southeast Asia this year after Frasers Logistics' $665 million initial public offering in Singapore.
The pricing range represents a discount of 2.1-2.8 percent on Sime Darby's closing share price on Tuesday of 7.61 ringgit, with the new issue increasing Sime Darby's total number of outstanding shares by 5 percent.
In August the world's largest palm oil planter by land size had said it was selling the shares to repay some borrowings and fund capital spending. ($1 = 4.1250 ringgit)
The sale of 316.4 million shares was priced in the 7.40-7.45 ringgit per share range, Thomson Reuters' IFR reported.
IFR said the sale would be the second largest equity markets deal in southeast Asia this year after Frasers Logistics' $665 million initial public offering in Singapore.
The pricing range represents a discount of 2.1-2.8 percent on Sime Darby's closing share price on Tuesday of 7.61 ringgit, with the new issue increasing Sime Darby's total number of outstanding shares by 5 percent.
In August the world's largest palm oil planter by land size had said it was selling the shares to repay some borrowings and fund capital spending. ($1 = 4.1250 ringgit)