UEM Sunrise to dispose of stake in South African firm for RM38 mil

• The group said its indirect wholly owned subsidiary, UEM Sunrise South Africa Proprietary Ltd, signed an agreement on Friday (Aug 19) to sell the stake, together with claims, to Olive Investment Trust.

KUALA LUMPUR (Aug 19): UEM Sunrise Bhd is to dispose of its 80.4% stake in South Africa-based Roc Union-Proprietary Ltd for 142.6 million rand (RM38 million).

The group said its indirect wholly owned subsidiary, UEM Sunrise South Africa Proprietary Ltd, signed an agreement on Friday (Aug 19) to sell the stake, together with claims, to Olive Investment Trust.

"The claims relate to the total shareholder advances given by the seller to Roc Union," UEM Sunrise said in a filing with Bursa Malaysia.

The purchaser is also planning to acquire the remaining 19.6% stake in Roc Union held by a local investor, said UEM Sunrise.

The group said the divestment of the South African firm is in line with its turnaround strategic plan to realign its operations geographically and redirect resources to businesses and areas which offer greater potential.

UEM Sunrise's shares settled at 30.5 sen on Friday, up one sen or 3.39%, valuing the property developer at RM1.54 billion.