The Board of UMW Holdings Berhad (KLSE:UMW) announced the spin-off of a 55.73% stake in UMW Oil & Gas Corporation Berhad (KLSE:UMWOG) to the shareholders of UMW Holdings for approximately MYR 780 million on January 19, 2017. Under the terms of the transaction, UMW Holdings will distribute all of the 1.2 billion shares it holds in UMW Oil & Gas Corporation at a distribution ratio of approximately 1.03 for every share held in UMW Holdings. The record date of the transaction is July 5, 2017.

The transaction is subject to approval by and shareholders of UMW Holdings, confirmation from the High Court and approvals and consents of any other relevant authorities or parties. As of May 20, 2017, the shareholders of UMW Holdings Berhad approved the transaction. The transaction is expected to complete by mid to end of July 2017.

Maybank Investment Bank Berhad served as the financial advisor to UMW Holdings on the deal.