KUALA LUMPUR (May 6): Berjaya Corp Bhd (BCorp) has extended its takeover offer for REDtone International Bhd to May 22, from the original date of May 8, as the conglomerate failed to garner enough acceptance as at today.  

According to a filing with Bursa Malaysia, BCorp currently holds approximately 365.05 million shares in REDtone, translating into a 49.63% equity stake in the latter, compared to its 35.57% stake when the offer document was posted on April 17.

Meanwhile, BCorp (fundamental: 0.9; valuation: 2) holds 40.84 million ICULS, representing 63.93% of REDtone’s (fundamental: 2.3; valuation: 0.5) ICULS holdings.

To recap, Berjaya had on March 27 offered to acquire REDtone’s shares at 80 sen per share and 32 sen per ICULS through its wholly-owned subsidiary Juara Sejati Sdn Bhd.

The takeover offer is conditional upon Juara Sejati and the parties acting in concert (PACs) holding more than 50% of the voting shares by the closing date.

BCorp said it intended to maintain REDtone’s listing status.

REDtone's share price gained 0.5 sen or 0.63% to 79.5 sen today, bringing it to a market capitalisation of RM581 million. BCorp meanwhile was unchanged at 43 sen, with a market capitalisation of RM1.78 billion.

(Note: The Edge Research's fundamental score reflects a company’s profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)