Boustead Holdings is exiting its stake in the University of Nottingham in Malaysia (UNM).
UNM is a private university branch campus of the University of Nottingham and the first campus of a British university in Malaysia. Boustead has been the majority shareholder of UNM since its campus opened in Kuala Lumpur in 2000.
Boustead has entered into a conditional share sales agreement with the University of Nottingham releasing its 66.41% controlling stake and a campus in Semenyih, Selangor for £23.5 million. The University of Nottingham aims to become the majority shareholder in UNM by purchasing Boustead’s shares through a wholly-owned Malaysian subsidiary.
Boustead stated that the move is in line with its “reinvention strategy” which focuses on rationalising non-strategic assets and concentrating on existing core businesses, managing costs and maximising shareholders returns.
Boustead Group managing director Mohammed Shazalli Ramly said: “While we are proud to have UNM as a prestigious addition to our portfolio, the exit will allow us to further capitalise our strengths and resources more effectively in supporting the development of education in Malaysia on a wider scale.
“As a government linked company, Boustead will continue to create other forms of collaboration and partnership that will help prepare valuable future talents particularly in digital technologies, renewable energy and Internet of Things, amongst others.
“We will continue to build on the established relationship with UNM, while nurturing relationship with other local tertiary institutions including Universiti Teknologi MARA and Universiti Pertahanan Nasional Malaysia, focusing on research and development in the areas of pharmaceutical, plantation, marine and aerospace, as well as oil and gas which are aligned with Boustead’s core strengths.
“By placing UNM under the full stewardship of the University of Nottingham, we trust that UNM will continue to accomplish great things in the future. The University of Nottingham is an esteemed global institution and we extend our best wishes for all the upcoming endeavours of UNM.”
UNM vice-chancellor Professor Shearer West said: “Our commitment to UNM and Malaysia remains as strong as ever. This transaction will allow us to build on exceptional foundations in teaching and research to develop new, innovative teaching programmes and research that supports sustainable development locally, regionally and globally.”
CIMB Investment Bank and Zul Rafique & Partners are advisors for BHB in this transaction.
Date published: 19 August 2021