F&N completes Vacaron stake sale to Tan & Tan for interim RM181.61m

PETALING JAYA (Sept 4): Fraser & Neave Holdings Bhd (F&NHB) has completed the disposal of its entire 50% interest in Vacaron Company Sdn Bhd to Tan & Tan Developments Bhd (TTDB) for an interim purchase consideration of RM181.61 million.

In a Bursa Malaysia filing on Friday (Sept 4), F&NHB said it received RM136.21 million on Sept 3, representing 75% of the interim consideration.

The remaining 25%, amounting to about RM45.40 million, is secured by an irrevocable bank guarantee delivered by TTDB on Friday. The second tranche is payable on July 3, 2027.

The final purchase consideration remains subject to adjustment following completion of the audit of Vacaron’s pro forma management accounts.

Vacaron owns a 5.149ha, or about 12.7-acre, leasehold parcel in Section 13, Petaling Jaya, earmarked for mixed-use development. The land is held under Pajakan Negeri 108938, Lot 10148, Seksyen 13, Bandar Petaling Jaya, Daerah Petaling, Selangor.

Land valued at RM360m

Under the agreed pricing mechanism, the consideration is based on 50% of Vacaron’s adjusted pro forma net asset value as at the fulfilment date.

The calculation deducts the carrying value of the land and property development costs from Vacaron’s net asset value before adding an agreed revised land value of RM360 million.

The RM360 million land value was supported by an independent valuation by Henry Butcher Malaysia using the comparison approach.

Following completion, TTDB and Frasers Property Holdings (Malaysia) Pte Ltd (FPH) each hold a 50% interest in Vacaron.

F&NHB said the transaction’s highest applicable percentage ratio under Bursa Malaysia’s Main Market Listing Requirements is 4.70%, calculated using the interim consideration and its audited net assets as at Sept 30, 2025. This compares with the previously disclosed 5.04%, which was based on its audited net assets as at Sept 30, 2024.

F&NHB had said the disposal was intended to unlock value from non-core property assets, as property development no longer forms part of the group’s core business.

The proceeds will be used to support its core businesses, including its integrated agriculture and dairy farm operations in Gemas, Negeri Sembilan.

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