KUALA LUMPUR: Tropicana Corporation Bhd’s indirect wholly-owned subsidiary, Desiran Realiti Sdn Bhd, has disposed of 2.65 million ordinary shares in Chin Hin Group Bhd
to Tan Sri Tan Chee Shing for RM12.46 million cash in a related party transaction.
Tan is a major shareholder and the group executive vice-chairman of Tropicana. The disposal was done on Feb 15, 2023, via direct business transactions on Bursa Malaysia Securities Bhd, Tropicana said in a filing with the exchange today.
The company said that after the transaction, Desiran Realiti holds 14.71 million Chin Hin shares, representing 0.83 per cent equity interest.
"As the prevailing market prices of Chin Hin shares have been on the uptrend for the past six months, the disposal represents an opportunity for the group to realise a profit of more than 100 per cent based on the average cost of investment of 47 sen per Chin Hin share.
"Further, the disposal will improve the group’s cash flow position, of which the proceeds received will be utilised for working capital purposes,” it added. - Bernama
