vested
03 Sep 2015
Shot in the arm for DestiniBy B.K. SIDHU
MoF unit emerges as second-largest shareholder of company.
PETALING JAYA: Minister of Finance Inc (MoF) unit Aroma Teraju Sdn Bhd has emerged as the second-largest shareholder of engineering specialist firm Destini Bhd, confirming a report by StarBiz on Monday entitled MoF courts Destini.
Stock-exchange filings showed that Aroma Teraju had acquired 200 million shares in Destini via a merit deal on Friday.
Based on the last closing price of 58 sen per share on Friday, the deal is said to be worth RM116mil.
This would give the MoF company a 24.75% stake in Destini, making it the second-largest shareholder after Datuk Rozabil Abdul Rahman, who has a 31.82% stake.
Aroma Teraju, which was once a major shareholder in Pos Malaysia Bhd, is owned by Piramid Pertama Sdn Bhd, which in turn is owned by MoF and Pesuruhjaya Tanah Persekutuan, a company search revealed. Rozabil is also the managing director of Destini.
Part of the sellers of the stake was Cayman Island-registered fund manager Harbour Asia Opportunity Master Fund, which had 11.41% in Destini as at Aug 12. Harbour had bought into Destini in June this year.
Rozabil, when contacted by StarBiz yesterday, said he was aware that a company from MoF had bought close to a 25% stake in Destini.
“We welcome them and we believe they have confidence in Destini to have bought into it,” he said.
Yesterday, Destini shed half a sen to close at 57.5 sen. As of yesterday, its market capitalisation stood at RM464.61mil, down from RM477mil on Friday.
Aroma Teraju’s rationale for emerging in Destini is not known, although it could be because of the
defence contracts that this company has won.
Destini has a six-board member team and insiders reckon that Aroma Teraju will seek board representation.
Rozabil added: “As a major shareholder of Destini, I will be seeking a meeting with them. We welcome their representation at the board level and then will decide on the direction of the company going forward.”
Formerly known as Satang Holdings Bhd, Destini generally depends on contracts from the Government in relation to the defence industry. It also provides
aircraft maintenance, repair and overhaul (MRO) services.After Rozabil took over the company more than two years ago, the company expanded into the oil and gas sector via the
RM80mil acquisition of Samudra Oil Services Sdn Bhd from Kejuruteraan Samudra Timur Bhd, but the move came just before the fall of global fuel prices.
Destini has a three-year contract worth
RM8mil to provide MRO services to the Royal Malaysian Navy.In July, it bought Everyday Success Sdn Bhd for RM90mil from paramilitary boat maker Destination Marine Services Sdn Bhd (DMS) and this allows the company to participate in a contract awarded to DMS by the Malaysian Maritime Enforcement Agency for the supply of
six patrol boats worth RM381mil.It is also expanding its MRO services with an agreement with AirAsia Bhd signed in July for the outsourcing of MRO services for the budget airline’s fleet of aircraft.
Destini’s net profit jumped three-fold to RM3.6mil in the second quarter ended June 30 from RM1.2mil a year ago. Revenue rose to RM50.9mil from RM36.8mil previously.
Source: The Star
https://www.thestar.com.my/business/bus ... or-destini
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