Source: Company announcement dated 27 Dec 2013
Is the disposal of SB Mall Sdn Bhd by the Store a non-related party transaction? Let do some mapping here.
Mall of Malaysia
Mall of Malaysia currently has 6 (7?) malls of which 3 are in operation. They are the KB Mall, Alor Star Mall and Batu Pahat Mall. 4 more malls are in the pipelines - SB Mall, Taiping Mall, BM City Mall and KTCC Mall. (Source: MRCA Newsletter Vol 2 No 1, page 34)
Is Managing Director of The Store Corporation Berhad, Tan Sri Dato' Sri Tang Yeam Soon related to Mall of Malaysia?
1. Tan Sri Dato’ Sri Tang Yeam Soon, Managing Director of The Store Corporation Berhad, has interest in YST Holdings and Dream Property. The Store Group pays rental to YST Holdings and Dream Property for renting of retail space at KB Mall and Batu Pahat Mall.
Source: Company announcement
3. The Store Group operates hypermarket/supermarket & departmental stores at Alor Star Mall, Batu Pahat Mall and KB Mall, which are in portfolio of Mall of Malaysia.
Disposal of SB Mall Sdn Bhd to non-related party
Based on announcement dated 27 Dec 2013, The Store Corporation Berhad is disposing 100% stake in SB Mall Sdn Bhd (owner of the shopping complex) to non-related party Goldleaf Synergy Sdn Bhd.
1. Is the SB Mall under Mall of Malaysia the same as the one to be disposed by The Store Group?
2. The Store Group and Mall of Malaysia share the same address?
Source: The Store 2013 annual report, page 15
Source: Google Map
3. Does Tan Sri Dato' Sri Tang Yeam Soon have any interest in Mall of Malaysia?
4. If it is a "yes" to Q1, is the proposed disposal deemed a non-related party transaction because Mall of Malaysia will just be the mall operator while the property will be owned by non-related party Goldleaf Synergy Sdn Bhd?
5. Which company manages SB Mall? Which company will take over as the operator of the mall? If the Store group is the mall operator before the proposed disposal, why not keep its role as the mall operator post disposal if the intention of the disposal is just to be raise cash for working capital?
Other related article:
The Store to pay MD’s firm RM130mil for shopping mall
THE STORE RESPONDS TO ARTICLE ON ACQUISITION OF SHARES IN JURUS KOTA