Minister clarifies bumi-only share sale solely for PNB, Mara and others

 

Minister in Prime Minister's Department Mustapa Mohamed has clarified that a planned rule to limit the sale of bumiputera-owned shares to only bumiputera buyers will only involve certain institutions.

Mustapa (above), who is in charge of the economy, said the proposal outlined in the 12th Malaysia Plan is only for firms owned by institutions with a bumiputera mandate, such as Permodalan Nasional Berhad (PNB), Lembaga Tabung Haji (Tabung Haji) and Majlis Amanah Rakyat (Mara).

"The announcement had led to different interpretations. Certain quarters had raised the issue that it caused the perception as if the bumiputera community is taking the rights of other races.

"I would like to clarify that the proposal to introduce an equity safety net framework only refers to the sale of shares and companies owned by agencies with a bumiputera mandate.

"They comprise bumiputera interest institutions including PNB and TH and bumiputera-mandated agencies such as Mara, state economic development corporations and Ekuinas," Mustapa said in a statement.

He stressed that the proposal will not be imposed on individual bumiputera sellers to non-bumiputera or foreign buyers.

'Ensure ownership will not be eroded'

Mustapa said the bumiputera-to-bumiputera sale will only be offered to qualified bumiputera firms and individuals.

"In 2019, the bumiputera ownership of corporate equities based on market value is only 17.2 percent.

"The announcement was intended to ensure that the bumiputera ownership will not be eroded.

"The proposal will not take the rights of other races," said the Bersatu leader.

He added that existing rules, such as the requirement to seek the Economic Planning Unit's approval for the sale of property with bumiputera or government interest if it is worth RM20 million or more, will remain.

The institutions and agencies that will see the bumiputera-to-bumiputera equity sale rule are as follows:

1. Permodalan Nasional Berhad (PNB)
2. Lembaga Tabung Haji (TH)
3. Lembaga Tabung Angkatan Tentera (LTAT)
4. Koperasi Polis di-Raja Malaysia (KPDRM)
5. State economic development corporations (PKEN)
6. Majlis Amanah Rakyat (Mara)
7. Ekuiti Nasional Berhad (Ekuinas)
8. Pelaburan Hartanah Berhad (PHB)
9. Perbadanan Nasional Berhad (PNS)
10. VentureTECH Sdn Bhd
11. Yayasan Pembangunan Ekonomi Islam Malaysia (YaPEIM)
12. Perbadanan Usahawan Nasional Berhad (PUNB) - Mkini