Sime Darby has completed the acquisition of its 61.18% stake in UMW Holdings Berhad, making it the new major shareholder of UMW. The deal was completed via Sime Darby’s indirect wholly-owned subsidiary, Sime Darby Enterprise (SDESB), for a cash consideration of RM3.57 billion, or RM5.00 per share.
As a result of the acquisition, UMW has become an “indirect subsidiary of Sime Darby”, according to the Bursa filing, which includes the company’s automotive portfolio consisting of UMW Toyota Motor and Perodua. As such, automotive brands in Malaysia under the Sime Darby umbrella now comprise Hyundai, Porsche, BYD, Jaguar Land Rover, Toyota, Lexus, and Perodua.
Following the completion of the acquisition, Sime Darby has initiated a mandatory general offer for the remaining 38.82% of UMW shares it does not own for a total of RM2.27 billion, with the intention of eventually delisting UMW from the main market of Bursa Malaysia.
The change in UMW’s major shareholder has also resulted in changes to its board, as the company announced the appointment of Mustamir Mohamad as its new President and Group Chief Executive Officer.
Mustamir, formerly the Sime Darby Group Chief Financial Officer said, “I am honoured to lead UMW during this important integration phase with Sime Darby. UMW boasts a rich history and a longstanding reputation as a cornerstone in the Malaysian automotive sector. We aim to build upon the solid foundation laid by UMW and explore new business opportunities by leveraging Sime Darby’s established distribution network and regional influence.”
With the appointment of Mustamir, Megat Shahrul Azmir, who has been serving as the UMW interim Officer-in-Charge will renounce that position and continue as President of UMW’s Equipment Division.
UMW is also looking forward to welcoming several other new members comprising the Sime Darby Independent Non-Executive Director Tan Sri Muhammad Shahrul Ikram Yaakob, as well as the Sime Darby Group Chief Executive Officer Dato’ Jeffri Salim Davidson.
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