Ekuinas completes buyout of Tanjung’s marine vessel assets

Tanjung said in a statement cited by The Edge that it would distribute half of the proceeds to shareholders via a special dividend. In addition to the MYR200 million price tag, Ekuinas will ensure that TKS returns MYR22 million to Tanjung in advances owed. Tanjung shareholders also have the option of investing in Ekuinas' acquisition vehicle.

The sovereign fund has pledged to inject MYR30 million into TKS to fund future working capital requirements.

Separately, Ekuinas revealed in its 2011 annual report that it made four investments over the course of the year for a total consideration of MYR408.9 million. This came despite having vetted more than 300 prospective targets. CEO Datuk Abdul Rahman Ahmad blamed the relative inactivity on a challenging investment climate and difficulty in identifying mid-sized companies that satisfied Ekuinas' investment criteria. He added that Malaysia is a competitive market and this has pushed up asset prices.

Ekuinas was set up in 2009 with initial capital of MYR500 million. It received a further MYR600 million from the Malaysian government last year. Since its inception, the fund has made 12 investments, with a total committed capital of nearly MYR1.2 billion.

In addition to making direct investments, Ekuinas participates in the Malaysia Growth Opportunities Fund I, which is managed by Navis Capital Partners. It recently invested in MCAT Box Office and SEG International.

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• Topics
• Southeast Asia
• Buyouts
• Support services
• Performance
• Logistics
• Malaysia
• Navis Management
• Sovereign wealth fund
• buyout