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- According to the group, the termination was prompted by recent economic conditions, which led both companies to re-evaluate the proposed transaction and re-examine the parcels of land identified for disposal. The termination was reached on amicable terms, with neither party admitting fault or liability.
KUALA LUMPUR (Aug 21): Hextar Technologies Solutions Bhd has terminated its proposed disposal of four adjoining parcels of vacant freehold industrial land in Nilai Industrial Estate, Negeri Sembilan, to Widad Development (Nilai) Sdn Bhd for RM31 million.
In a bourse filing on Thursday, the decision was made after both parties agreed to reassess the terms with a view to negotiating a fresh agreement. However, no date was disclosed as to when the group intends to reassess its terms.
The transaction, initially structured to be settled through the issuance of new shares by Widad Group Bhd, has been withdrawn following mutual review.
According to the group, the termination was prompted by recent economic conditions, which led both companies to re-evaluate the proposed transaction and re-examine the parcels of land identified for disposal. The termination was reached on amicable terms, with neither party admitting fault or liability, the group said.
Both companies intend to pursue a new sale and purchase agreement for revised land parcels, subject to agreement on updated conditions, the filing added.
For context, under the original terms, Widad was to issue 993.65 million new shares at 3.15 sen each to Hextar Technologies, amounting to approximately 32% of Widad’s enlarged share capital.
However, with Widad’s shares currently trading at 1.5 sen, the arrangement reflected a substantial premium.
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