SINGAPORE/HONG KONG (March 24): A group of shareholders is nearing an agreement to take Yinson Holdings Bhd (KL:YINSON) private, according to people with knowledge of the matter, in a deal that could value the Malaysian energy infrastructure company at about RM8 billion.
The Lim family, which established Yinson in the 1980s and is its biggest shareholder, plans to team up with infrastructure-focused investment firm Stonepeak Partners and some local pension funds that are existing shareholders in Yinson on a joint bid, the people said.
Talks are at an advanced stage and a deal may be announced as soon as the next couple of weeks, the people said, asking not to be identified because the process is private.
The group aims to buy out the Kuala Lumpur-listed firm via a scheme of arrangement, also known as court-approved agreement, as that improves the chances of a deal going through, they said. Deliberations are ongoing and there’s no certainty that the parties will proceed with a buyout, the people said.
Representatives for the Lim family and Stonepeak declined to comment. Yinson didn’t respond to requests seeking comment outside business hours.
Bloomberg News reported in June that New York-based Stonepeak was teaming up with the Lim family for a buyout of Yinson.
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The Lim family owned 27.7% of Yinson as of the end of February, according to the company’s website. The Employees Provident Fund and Kumpulan Wang Persaraan (Diperbadankan), hold 17.1% and 7%, respectively.
Yinson started out as a transport and logistics firm and has since diversified into energy infrastructure, renewables and technology. Shares of the company are down about 3% this year, giving it a market value of RM6.7 billion as of March 19. Malaysia’s stock market has been closed for the Eid holiday on March 20 and 23.
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