Jelas Ulung Sdn Bhd, with the support of Bank of China (BOC), has offered to acquire all of PLUS Expressway Bhd’s business undertakings, including assets and liabilities, for RM26 billion.

Its director, Ibrahim Zain, said the valuation, which was equivalent to RM5.20 per PLUS share, would be satisfied in cash.

“This is a better deal for PLUS and has a 60 percent chance of success. We have sent the offer letter to PLUS and its directors today,” he told Bernama in Kuala Lumpur today.

He said the offer, which was valid up to March 18, 2011, was much superior compared to others as it would not seek a tax waiver, request for further toll increases and compensation or subsidy from the government.

“The deal will definitely benefit minority shareholders as it offers more cash than other publicly-announced offers.

Ibrahim said the support from BOC was through its Hong Kong-based unit, Bank of China International.

“Jelas Ulung has received the final confirmation letter from BOC a few days ago,” he said.

The offer from Jelas Ulung came just a few days before PLUS shareholders decide on the RM23 billion offer from UEM Group Bhd and the Employees Provident Fund (EPF).

Looking at shareholders’ response

He said Jelas Ulung would look at the outcome of PLUS’ extraordinary general meeting on Thursday and how the shareholders responded to its offer.

“When our proposal come, which is much better, what are you going to do as directors? This is the issue of corporate governance. You must be realistic and fair to stakeholders as well as explain why then it's up to shareholders,” he said.

Ibrahim said the company did not know the details of the proposals by UEM and EPF.

“However, we know that we have the expertise on infrastructure management, cash flow management and most importantly, safety management.

“Our team will consist of people in this sort of business before. At the moment we can’t reveal their names,” he said.

Currently, only Ibrahim and Ghazali Mat Ariff are the directors of the newly set-up company.

In another development, PLUS said it had received a letter from Jelas Ulung to acquire its business and undertakings, including all assets and liabilities.

PLUS to deliberate on terms

PLUS said it would deliberate on the terms of the offer and decide on the next course of action, taking into consideration the offer from UEM and EPF which was accepted and announced on Nov 9.

“An announcement will be made once the board has made a decision on the offer,” PLUS said in an announcement to Bursa Malaysia.

Before this, Asas Serba Sdn Bhd had announced its plan to take over toll concessionaire companies in the country.

It would set up a concession company to issue dividend bonds of up to RM50 billion to finance the acquisition.

- Bernama