Hap Seng Plans Sale of Hafary Stake Following Takeover Offer
Malaysia: Hap Seng Consolidated Bhd has agreed to sell its 50.82 per cent stake in Singapore-listed Hafary Holdings Ltd as part of a takeover offer by 23 Capital Pte Ltd. The offer values Hafary at approximately SGD 140 million (USD 102.20 million/EUR 95.10 million), with a cash offer of SGD 0.64 per share. 23 Capital, which is controlled by members of the Hafary founding family, intends to take the company private. Upon completion of the transaction, Hafary will cease to be a subsidiary of Hap Seng Consolidated.
The disposal is expected to generate an estimated gross gain of around MYR 187.30 million (USD 39.80 million/EUR 37.10 million) and is scheduled for completion before the end of the year. Proceeds from the sale will be used in part to reduce borrowings, which stood at MYR 6,900 million (USD 1,466.00 million/EUR 1,366.00 million) at the end of 2025. Hafary, which manufactures and trades building materials including tiles and sanitary products, contributed MYR 48.40 million (USD 10.30 million/EUR 9.60 million) to profit and MYR 19.85 million (USD 4.20 million/EUR 3.90 million) in dividends to Hap Seng Consolidated.
Source: The Edge Malaysia
