Atis Corp Bhd ... Oct09

Atis is raising its shareholding in property developer Mutiara Goodyear to 30.28% with the proposed acquisition of an additional 9.26% stake for about RM20.74 million cash.

The 9.26% comprised of 21.38 million shares acquired from Lim Beng Guan and Laman Arif Sdn Bhd. Lim is non-independent non-executive director and shareholder of Atis also. Prior to the acquisition, Lim owns 6.28 million Mutiara shares or 2.72% and Laman Arif 15.1 million shares or 6.54%.

Cumulatively, the two vendors total cost of investment in the 21.38 million Mutiara shares from October 2007 to October 2008 was about RM21.27 million or 99.46 sen per Mutiara share.

When the acquisition is completed, Atis’s equity stake in Mutiara would increase to 30.28%.

Atis will then be able to account the investment of equity interest in Mutiara using equity method. It would be able to consolidate Mutiara’s financial results into Atis’s group accounts.

Mutiara Group develops residential and commercial properties in Klang Valley and Penang and has strategic landbank in these two areas.