KPJ Healthcare Bhd’s shares surged as much as eight sen or 7.27 percent to an intraday high of RM1.18 in early Wednesday trade amid lively trading.
At 12.23pm, the counter had reduced some of its gains to RM1.17, but was still up seven sen or 6.36 percent on Tuesday’s close. 9.8 million shares were traded on the counter.
Year to date, the stock has increased 17% from its January low of RM1.
KPJ Healthcare’s major stakeholder, Johor Corp (JCorp), intended to privatise the healthcare unit, but the proposal was put on hold due to the Covid-19 outbreak.
According to insiders, JCorp was reviewing its investment possibilities in KPJ Healthcare in early 2020 and was accepting ideas from investors and bankers. According to the article, JCorp ultimately opted to delist the private hospital operator from Bursa Malaysia in collaboration with global private equity firm TPG.
“A plan was put in place early last year to privatise KPJ Healthcare, and they intended to do it with the assistance of TPG. The proposal, however, was shelved due to the Covid-19 pandemic,” the paper stated.
Published by Zack Baharum