Khazanah raises RM312m from TM share placement


KHAZANAH Nasional Bhd has completed a placement of 53.8 million shares in Telekom Malaysia Bhd (TM) at RM5.80 per share, raising gross proceeds of RM312 million.

The placement price represents a 3% discount to the closing market price of RM5.98 on Wednesday.

In a statement yesterday, the sovereign wealth fund said the share placement exercise is part of Khazanah’s ongoing efforts to rebalance its portfolio and recycle its investments from existing assets into new assets, including those that are strategic to the country’s future.

“In this regard, proceeds from the placement will be utilised for new investments, including investments in new strategic sectors that can help spur Malaysia’s economic growth and create new highly-skilled jobs,” said Khazanah.

The placement also provides Khazanah with the opportunity to partially monetise its investment in TM, which will further increase the free float and attractiveness of TM shares.

Following the placement, Khazanah’s shareholding in TM will stand at 20.1%.

The shares were placed out to a pool of domestic long-only institutional investors, as well as multi-strategy institutional investors, with the bulk of investors being domestic long-only funds.

Credit Suisse Group AG and CIMB Bank Bhd were joint book-runners for the share placement exercise.