Wednesday, September 02, 2009

Lion Diversified's Stake In Lion Corp

Posted yesterday: Flashback On Lion Diversified's RPT Transactions

In which I highlighted one of the RPT.

  • A wholly-owned subsidiary of the Company, Limpahjaya Sdn Bhd, has disposed of 66,666,667 ordinary shares of RM1.00 each in Megasteel Sdn Bhd ("Megasteel"), representing approximately 11.1% of the existing issued and paid-up share capital of Megasteel to Lion Diversified Holdings Berhad for a cash consideration of RM100,000,000.

On today's Financial Edge Daily: LDHB explains why it didn't consolidate Lion Corp's results

The following sentence caught my attention.

  • In an announcement here today, LDHB said despite it holding a 59% stake in LCB, it has continued to treat LCB as an associated company, in accordance to Financial Reporting Standard 127.......................

So Lion Diversified (LDHB) owns a 59% stake in Lion Corp (LCB)....hmmm.... now isn't this a fine web when the 11.1% stake was sold by LCB to LDHB for 100 million!

Yeah... don't you simply love them RPTs?