21 May 2012
Brahim's Holdings buys remaining 49% stake in Brahims LSG Sky Chef for RM 130 million cash
(BRAHIMS opening price today (21.05.2012) was RM 1.11)
Brahim's Holdings Bhd has proposed to buy the remaining 49% stake in Brahim's-LSG Sky Chef Holdings Sdn Bhd (BLH) for RM130mil cash.
Brahim's said on Monday it had entered into a conditional share sale agreement with LSG Asia GmbH to acquire the 49% stake or 490,000 shares. The acquisition would be financed from bank borrowings.
BLH's 70%-owned subsidiary, LSG Sky Chefs-Brahim's Sdn Bhd (LSGB) is involved in catering and catering related services.
LSGB provides in-flight catering and related services at the Kuala Lumpur International Airport and Penang airport. LSGB has a 25-year concession expiring in 2028 to provide catering and related services to Malaysian Airline System Bhd at both airports.
Apart from MAS, LSGB also provides in-flight catering to over 35 airlines with the capacity to serve up to 50,000 meals daily at KLIA and up to 1,000 meals at the Penang airport.
BLH recorded profit after taxation of RM41.01mil and its consolidated net assets as at Dec 31, 2011 was RM95.93mil.