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PRG to subscribe for shares in Capital World

KUALA LUMPUR (Dec 22): PRG Holdings Bhd has agreed to subscribe for shares in Singapore-listed Capital World Ltd, which is primarily involved in property development in Malaysia. 

Capital World’s flagship project is Capital City in Johor Bahru, comprising a shopping mall, hotel, serviced suites and serviced apartments. 

In a filing yesterday, PRG said it will subscribe for 265 million new shares in Capital World for S$9.28 million, and another 44 million option shares at S$1.00 per share.

PRG said the decision is in line with its strategic direction in its property division, allowing for the group to “leverage on Capital World’s strong and experienced management team with extensive experience in property development and project management”

“The subscription will also enable PRG to invest in a profitable business. The subscription price is also at a substantial discount to the current market price of Capital World’s shares,” it added.

Capital World is listed on the Catalist of the Singapore Exchange since May 2017. Its flagship project is Capital City in Johor Bahru, an integrated development comprising of a shopping mall, hotel, serviced suites and serviced apartments. 

PRG also announced today that its group executive vice-chairman Datuk Yau Kok Seng will resign on Jan 1, 2019, in order to pursue other interests.

Yau, a chartered accountant, joined the investment holding group on March 1, 2018.

He will be made a corporate advisor to the group upon his resignation, PRG said.

PRG closed unchanged at 75 sen a share today, with 105,800 shares traded. Its market capitalisation stands at RM232.77 million. — theedgemarkets.com

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