Tabung Haji continues shareholdings transfer to SPV


Lembaga Tabung Haji (TH) continues to transfer its underperforming equity stakes in public-listed companies (PLCs) to the special-purpose vehicle (SPV), Urusharta Jamaah Sdn Bhd, as part of its restructuring exercise.

Exchange filings yesterday showed TH has transferred its shareholdings in Sarawak Plantation Bhd and Melati Ehsan Holdings Bhd to the government-owned SPV on Dec 28, 2018.

The SPV started taking over the pilgrim fund’s underperforming equities in PLCs last week at book value.

WIth this move, the fund has thus far transferred its shareholdings in 42 PLCs to the SPV.

The stakes include its holdings in TH Heavy Engineering Bhd, Icon Offshore Bhd, Pelikan International Corp Bhd, MCT Bhd, UEM Sunrise Bhd, IJM Corp Bhd, Pintaras Jaya Bhd, Parkson Holdings Bhd, Lion Industries Corp Bhd, Puncak Niaga Holdings Bhd, KSL Holdings Bhd, Malaysia Marine & Heavy Engineering Holdings Bhd, Mah Sing Group Bhd, Star Media Group Bhd, Integrated Logistics Bhd, Malakoff Corp Bhd, Naim Holdings Bhd, Dayang Enterprise Holdings Bhd, Hap Seng Plantations Holdings Bhd, Eastern & Oriental Bhd, Adventa Bhd and CSC Steel Holdings Bhd.

Bursa Malaysia filings on Monday revealed TH has transferred its stakes in FGV Holdings Bhd, MMC Corp Bhd, WCT Holdings Bhd, Progressive Impact Corp Bhd, Glomac Bhd, UEM Edgenta Bhd, Gadang Holdings Bhd, TSR Capital Bhd, APB Resources Bhd, TRC Synergy Bhd, Boustead Heavy Industries Corp Bhd, Brahim’s Hol-dings Bhd, Yi-Lai Bhd, YLI Holdings Bhd, Datasonic Group Bhd, Reach Energy Bhd, and Suria Capital Holdings Bhd to Urusharta Jamaah.

As a result, Urusharta Jamaah has emerged as a substantial shareholder of several of these PLCs.

According to Bloomberg data, TH has investments in 89 PLCs.

On Dec 11, 2018, TH said it will transfer RM19.9 billion worth of non-performing assets, including land purchased from 1Malaysia Development Bhd, to the SPV for cash of the same amount.

The SPV will finance the assets by issuing RM10 billion worth of seven-year Islamic debt papers and RM9.9 billion of Islamic redeemable convertible preference shares.

Last month, TH CEO Datuk Seri Zukri Samat said about 80% of the assets to be sold are underperforming equities, while the balances are made up of properties.

He said once the transfer is completed, TH will have a clean balance sheet with assets matching its liabilities. The move will allow the fund to pay its annual dividends for its financial year 2018 (FY18), in accordance with the TH Act 1995.