Eversendai’s filings also show that Vahana has liabilities of RM708.9mil, which will be absorbed by Eversendai following this acquisition. Addressing the group’s loans, AK Nathan explains that the bulk of the borrowings are used for project financing. The Vahana acquisition will need to be approved by minority shareholders in an extraordinary general meeting (EGM) to be convened. Sources close to Urusharta say that the fund is studying the deal closely now and notes that Eversendai’s proposed purchase of Vahana has both pros and cons. MSWG CEO Devanesan Evanson says the injection of Vahana will be beneficial to Eversendai’s bottom-line as the group has been loss-making.

Source: The Star July 04, 2020 00:33 UTC