KUALA LUMPUR, 28 May 2019 – Kenanga Investment Bank Berhad has received approval from Bank Negara Malaysia for its asset management subsidiary, Kenanga Investors Berhad (KIB) to acquire 100% equity stake in Libra Invest Berhad.
The green light is subject to KIB obtaining the necessary approval from the Securities Commission Malaysia.
Kenanga stated that under the terms of the conditional share purchase agreement entered in March this year, KIB will acquire Libra Invest for a provisional purchase consideration of RM50.1 million.
“The final purchase consideration will be based on the net asset value of Libra Invest on the last day of the month preceding completion date and a premium of RM35.0 million,” it said.
“This complementary strategic acquisition is expected to propel KIB’s Asset under Management over the RM10.0 billion mark, enhancing its position as one of Malaysia’s leading unit trust and asset management companies,” said Datuk Chay Wai Leong, Group Managing Director of Kenanga Investment Bank Berhad.
Libra Invest is a fund management arm of ECM Libra Financial Group Berhad.
Established in 1995, Libra Invest is an award-winning Asset Management Company with a stronghold in the fixed income space in which will complement KIB’s successful equity product line up, representing a substantial expansion of its investment offerings and expertise.