MAA minorities in a bind

THE major shareholders of MAA Group Bhd are proposing to take the company private through a selective capital repayment (SCR) exercise, whereby its shareholders are paid out RM1.10 per share.

MAA is a PN17 company not because of inadequate financials but due to a lack of business. The bulk of its assets are in the form of “liquid assets” such as cash, balance due from the sale of its Islamic insurance arm to Zurich in 2016 and financial assets. These three make up 88.9% of its total assets of RM447.13mil.

Breaking it down into details, the liquid assets comprise MAA’s cash pile of RM231.32mil, receivables from Zurich that are due by end-June of RM93.8mil and RM48.4mil in quoted and unquoted financial assets. The three components alone put together come up to RM373.52mil or RM1.36 per share.

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