Nylex's major shareholder Ancom Nylex proposes selective capital reduction, repayment of 5.1c/share
Nylex was classified as an affected listed issuer after disposal of its entire business to its holding company, Ancom Nylex Bhd, triggering Paragraph 8.03A(2) of the Main Market listing requirements of Bursa Malaysia Securities whereby Nylex has an insignificant business or operations after the disposal.
As a result, Nylex was delisted after Bursa Securities dismissed its appeal for a further extension to submit a regularisation plan in March 2025.
Under the proposed SCR, all shareholders of Nylex other than joint offerors — Ancom and Rhodemark Development Sdn Bhd (RDSB) — whose names appear in the record of depositors of Nylex will collectively receive a total capital repayment of RM5.3mil, which represents 5.1 sen for each Nylex share.
As at the latest practicable date, the entitled shareholders held about 103.9 million shares, representing 57.79% of Nylex's issued share capital, excluding treasury shares.
'For the avoidance of doubt, the joint offerors will not be entitled to the capital repayment pursuant to the proposed SCR,' Ancom noted in a filing to the exchange.
The exercise will cancel the shares held by the entitled shareholders, proportionately increasing the joint offerors' stake to 100% of Nylex's share capital upon completion.
'The proposed SCR provides an opportunity for the entitled shareholders to realise their investments in the unlisted Nylex shares, returns capital resources of Nylex to shareholders in a timely manner and also accords the joint offerors greater flexibility in managing Nylex's business moving forward,' the filing added.
The capital reduction will be funded from Nylex's internal funds and is not expected to materially impact the Joint Offerors' financial position.
The proposed SCR is subject to the approval of non-interested entitled shareholders via a special resolution at an extraordinary general meeting and the High Court granting an order confirming the capital reduction.
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