KUALA LUMPUR: MMC Corporation Bhd has bolstered its ownership of NCB Holdings Bhd with an 83.55 per cent stake in the latter, solidifying MMC's stable of ports and logistics business.
MMC received an overwhelming 99.99 per cent shareholder approval at the Extraordinary General Meeting (EGM) to seek approval to acquire NCB Holdings, said MMC Group Managing Director Datuk Seri Che Khalib Mohamad Noh.
"(MMC) management will create value out of the acquisition with the addition of NCB to our group," he said.
"We now control the northern part and the southern part -- we will get a lot of synergy between all the ports through cost optimization and rationalization of the personnel," he added.
The EGM saw MMC received overwhelming approval to increase its shareholding in NCB by an additional 53.42 per cent at RM1.1 billion.
The group is acquiring this additional stake from Permodalan Nasional Bhd and AmanahRaya Trustees Bhd.
The utilities and infrastructure group previously owned 30.13 per cent stake in NCB.
As a result, MMC's controlling stake in NCB increases to 83.55 per cent.
In the circular distributed to shareholders at the EGM, the company is quoted saying it will be making an offer of RM4.40 per NCB share for the 16.45 per cent remainder, and later take NCB private.
NCB brings with it wholly-owned Northport (M) Bhd and Kontena Nasional Bhd, while MMC has a 100 per cent stake in Johor Port and a 70 per cent interest in Port of Tanjung Pelepas (PTP), thus strengthening the group's ports and logistics business.