KUALA LUMPUR (Sept 8): South Korea's biggest total cargo delivery company CJ Korea Express Asia Ptd Ltd has emerged as the largest shareholder in Century Logistics Bhd, after the former acquired 120.54 million shares, translating into 31.44% stake in the latter, confirming a report published in The Edge Financial Daily today.

According to the announcement made in Bursa, Century Logistics founder Datuk Phua Sin Mo, together with his wife Datin Lee Lay Hun, and daughter Pamela Phua Jo Lyn, as well as Chai Mee Young, the wife of Teow Choo Chuan who is the group’s executive director of Century Logistics, have entered into a conditional sale and purchase agreement (SPA) with CJ Korea Express for the proposed disposal of 120.54 million shares at a disposal price of RM1.45 per sale share.

The transaction will be satisfied via cash consideration, according to the filing with Bursa.

The disposal price represents a 39.4% premium from its closing price at RM1.04 yesterday. Century Logistics shares were suspended in the morning, pending this announcement. Trading in the securities of Century Logistics will be resumed at the start of the afternoon market at 2.30 p.m. later today.

In the announcement, the board also informed that the proposed disposal is conditional upon fulfilment of the conditions precedent set out in the SPA; and the continuous precedent are expected to be fulfilled before Oct 31, 2016. The transaction is expected to be completed on Oct 31, 2016.

The signing of the share sale agreement was held this morning.