Khazanah Nasional Berhad (“Khazanah”) wishes to announce that it has successfully completed a placement of 53.8 million shares in Telekom Malaysia Berhad (“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 14 April 2021.
The share placement exercise is part of Khazanah’s on-going 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 to spur Malaysia’s economic growth and create new high-skilled jobs.
With the strong share price recovery and demand for TM shares driven by the digital transformation initiatives under the Government’s Malaysia Digital Economy Blueprint (“MyDigital”), the placement 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 and CIMB were joint book runners for the share placement exercise.
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