SYED MOKHTAR CONTROVERSY

WHAT YOU SHOULD KNOW ABOUT : SYED MOKHTAR CONTROVERSY

This writing is to provide alternative view on this issue, especially when the issue of syed mokhtar business was sensationalized in the recent pru13. is this really a political issue? or manipulated for advantage of some parties and to disadvantages of others.. worst, the innocent has been victimized by irresponsible acts.. hopefully we at personal level would able to act in responsible manner

whatever you want to say it has to be based on facts! assumption without fact is stupid.. enough said

IPP & Malakof

2 May 2007 – MMC Corporation Berhad announced on Monday the completion of its acquisition of Malakoff Berhad's businesses. MMC acquired Malakoff’s businesses in an all-cash transaction for RM9.3 billion in the largest leveraged buy-out ever undertaken in Malaysian corporate history. The acquisition is also the largest completed mer ger & acquisition exercise in Malaysia to-date.

MMC acquired Malakoff’s businesses through its 51% subsidiary Malakoff Corporation Berhad (Malakoff Corporation), which is the new name for Nucleus Avenue (M) Berhad. The remaining 49% stake in Malakoff Corporation is held by key local and foreign financial institutions. Malakoff Corporation is the largest independent power producer in the country, with a potential effective generation capacity of over 5,000 MW, representing a 24% market share of the generation capacity in Peninsular Malaysia.

IPP business in Malaysia has long started since  electricity crisis happened in our country in 1992. Independent Power Producers (IPPs) in Malaysia were first mooted by the then Prime Minister Tun Dr. Mahathir Mohamad, after an incident of power glitch in Terengganu that affect main grid of peninsular electricity suplly line caused blackout that left the country without electricity for up to 2 days. Mahathir felt that dependency on Tenaga Nasional Berhad as risky.  For a better national power plan and strategy, Tun decided to deregulate the electricity industry. If we want to criticize the condition and stipulation of IPP as excessively benefiting IPP at the peril of TNB, then we have to look at the situation in 1992, not at what our country situation today. The situation in 1992 require government to give big incentive to IPP, it is comprehensible as building power plant is not cheap. Of course for those who want to commit big amount of capital want guarantee in term of ROI. Whatever it is, the term of the contract is already binding. Let discuss about the future hopefully government    will able to negotiate a fair new term to all parties.

WHY ONLY QUESTION SYED MOKHTAR OF BENEFITTING FROM IPP WHEN THE TAKEOVER ONLY TAKEN PLACE IN 2007, WHY NOT QUESTION YTL, ANANDA  KRISHNAN & GENTING WHO OWN IPP SINCE THE INDUSTRY FIRST INCEPTION?

Sugar Business

The Sugar business in Malaysia evolve around these companies

Note : in 2009 FGVH has acquire substantial assets and share of sugar related companies for RM1.5bil from Robert Kuok specifically the shares are from these companies

1. ·       Kilang Gula Felda Perlis - remaining 50% of share from PBB Group controlled by Rober Kuok
2. ·       Malaysia Sugar Manufacturing (MSM) 100% sold to FGVH
3. ·       20% Tradewind share

Other sugar players

·       Central Sugar Refinery CSR (controlled by Tradewind since 1983 )

Business Robert Kuok PBB Group have diverse business operation with the well known such as cooking oil/ Minyak Masak Seri Murni and Flour/ Tepung Gandum cap Sauh and Orang Kampung, PBB subsidiary – FFM is the largest Flour milling in Malaysia the detailed of product from Robert Kuok business is here

http://www.ppbgroup.com/2_business/2_1_5_consumer.html

CURRENTLY MAJORITY MARKET SHARE OF SUGAR BUSINESS IN MALAYSIA IS HOLD  BY FGVH, BEFORE 2009 THE INDUSTRY WAS CONQUERED BY ROBERT KUOK. SYED MOKHTAR NEVER EVER BE MARKET LEADER IN THIS INDUSTRY… WHAT THE HECK ABOUT SYED MOKHTAR MONOPOLY? WHY IT WAS ALL QUITE WHEN ROBERT KUOK HOLD NEARLY 10% OF WORLD MARKET THEN? WHY NOW? THESE PEOPLE JUST BARKING ON THE WRONG TREE

Rice Business

In August 2009 Tradewind (M) Bhd announced it proposed acquisition of share in BERNAS from Hong Kong Based Wang Tak ltd. BERNAS has sole right to import rice but the milling and retailing of rice in Malaysia is not limited only to BERNAS as we have other miller and retailer of rice in Malaysia that mostly are comprise of non bumi.

ARE YOU RATHER HAPPY TO  LET BERNAS CONTROLLED BY OUTSIDER RATHER THAN SYED MOKHTAR? I STRESS HERE THAT THE ACQUISITION OF BERNAS SHARES, SAME AS OTHER ACQUISITION  OF MALAKOFF, ETC DOESN’T INVOLVE GOVERRNMENT MONEY.. IT IS PURE BUSINESS TRANSACTION THAT IS MOTIVATED TO SECURE THE SUPLLY OF OUR  MAIN COMMODITY IN THE HAND OF OUR PEOPLE. SYED MOKHTAR HAS RISK TO INCUR HIGH DEBT IN ORDER TO ACCOMPLISH THIS!!

Proton

2012 PROTON is now a private entity following its takeover by DRB-HICOM Berhad. DRB-Hicom Bhd controls over 69 companies, which mainly focus on the automobile industry, properties and others. Apart from Proton, other automobile-related businesses under DRB-Hicom include Modenas, Isuzu Malaysia, Honda Malaysia and EON. DRB-Hicom bought a 42.7 per cent stake in Proton from Khazanah Nasional Bhd for RM1.29 billion. Is this considered as undervalue?

DRB USED TO OWN PROTON BEFORE THIS LATEST ACQUISTION FROM KAZANAH.. IS THERE ANY LOCAL COMPANY THAT IS SUITABLE TO OWN PROTON OTHER THAN DRB?

NOTE

Tradewind (M) Bhd was taken private by syed mokhtar in May 2013, due to

UNCONDITIONAL TAKE-OVER OFFER BY PERSPECTIVE LANE (M) SDN BHD, KELANA VENTURES SDN BHD, SEAPORT TERMINAL (JOHORE) SDN BHD AND ACARA KREATIF SDN BHD (COLLECTIVELY, THE “JOINT OFFERORS”) THROUGH MAYBANK INVESTMENT BANK BERHAD (“MAYBANK IB”) TO ACQUIRE

MMC is a PLC controlled by Tan Sri Syed Mokhtar by indirect shareholding through Seaport Terminal (Johore) Sdn. Bhd or Indra Cita Sdn Bhd

Allah berfirman, maksudnya:-

“Hai orang-orang yang beriman, jika datang kepadamu orang fasik membawa suatu berita, maka periksalah dengan teliti, agar kamu tidak menimpakan suatu musibah kepada suatu kaum tanpa mengetahui keadaannya yang menyebabkan kamu menyesal atas perbuatanmu itu”. [Al Hujurat : 6].