Japan’s MUFG sells entire 4.6% stake in CIMB

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PETALING JAYA: Japan’s Mitsubishi UFJ Financial Group (MUFG) has disposed of a 4.6% stake in CIMB Group Holdings Bhd.

There was no mention of the selling price, but news reports had indicated that the shares were sold for RM6.15 to RM6.30 apiece, bringing the total disposal sum to RM2.53 billion to RM2.6 billion.

At yesterday’s market close, CIMB was down 15 sen to RM6.31 on 71.77 million shares done, being the eighth most actively traded stock.

CIMB said in a filing with the stock exchange that MUFG’s banking entity The Bank of Tokyo-Mitsubishi UFJ Ltd had sold its entire stake of 412 million CIMB shares or a 4.6% stake via an overnight block trade.

It noted that the divestment was part of MUFG’s strategic global master plan, including a review of its portfolio of existing investment in affiliates.

MUFG’s Asia & Oceania network spanned 15 countries, including Malaysia, where MUFG’s presence had been enhanced by its capital investment in CIMB, which was made in various stages from 1974 onwards.

Notwithstanding the divestment, CIMB said both parties would maintain their current collaboration founded on a mutually beneficial 40-year partnership.

“We have had a mutually rewarding relationship over the last 40 years and whilst MUFG’s capital priorities have necessitated this move, I am confident our relationship will remain strong. We will continue to be trusted business partners and look forward to further develop our collaboration in complementary areas,” said CIMB Group CEO Tengku Datuk Seri Zafrul Tengku Abdul Aziz.

Meanwhile, MUFG CEO for Asia & Oceania Takayoshi Futae said it will continue to explore further ways to grow in Malaysia with CIMB’s support, as well as helping CIMB to expand using MUFG’s global resources and network.


Read the original story on: TheSunDaily.My