mm2 Asia unit sells stake in UnUsUaL

A unit of entertainment company mm2 Asia has sold a stake in listed firm UnUsUaL to Brunei's Prince Abdul Qawi and a fund started by massage chair tycoon Ron Sim.

The 5.39 per cent slice of UnUsUaL, a concert promotion and event production operation, was sold for $25.8 million or 46.5 cents a share.

mm2 Asia said it has no immediate plans for the proceeds.

The 55.5 million shares were sold at a 1 per cent discount to UnUsUaL's Monday close of 47 cents.

The stock rose one cent to 48 cents yesterday, while mm2 Asia gained 0.5 cent to 49.5 cents.

Prince Qawi acquired 49 million of those shares - a 4.76 per cent stake - for $22.8 million. R3 Asian Gems, which was started by Mr Sim, Osim's founder, paid $3 million for 6.5 million shares or 0.63 per cent.

Brunei's Prince Abdul Qawi acquired 49 million shares - a 4.76 per cent stake - for $22.8 million.

mm2 unit UnUsUaL Management will remain the largest shareholder of UnUsUaL, although the sale has pared its stake from 82.2 per cent to 76.8 per cent.

mm2 Asia told the Singapore Exchange that the deal is not expected to have any material impact on its earnings per share and net tangible asset per share in this financial year.

Executive chairman Melvin Ang described the new shareholders as "strategic investors".

"UnUsUaL has charted a remarkable growth trajectory since its listing on Catalist slightly more than a year ago, offering more and more international acts, as well as expanding regionally into Taiwan, South Korea and China," he said.

Prince Qawi said he is excited about UnUsUaL's prospects as he sees "strong potential in providing high-quality live entertainment to the rapidly growing urban populations in Asia".

"I look forward to helping UnUsUaL connect with strong strategic partners as they continue to diversify their show offerings and expand their regional footprint," he added.

A version of this article appeared in the print edition of The Straits Times on April 18, 2018, with the headline 'mm2 Asia unit sells stake in UnUsUaL'. Print Edition | Subscribe