KUALA LUMPUR (March 19): Widad Group Bhd has called off the proposed acquisition of Inovatif Mewah Sdn Bhd for RM122 million from Menang Corp Bhd.

Inovatif Mewah is a concession business managing UiTM Seremban 3 campus in Negeri Sembilan.

In its filing today, MIDF Investment said Menang Corp has today accepted a letter of termination of the share sale agreement (SSA) issued by Widad.

“Pursuant to written notification by the vendors’ solicitors dated March 16, 2021, the vendors have provided their confirmation that the conditions precedent in the SSA will not be met by the extended cut-off date on March 23, 2021, and all parties do not wish to extend further the extended cut-off date,” the filing said.

“Accordingly, the purchaser and vendors have mutually agreed to terminate the SSA and the SSA shall be terminated with effect from March 19, 2021 in accordance with Clause 9.3(c) of the SSA,” the filing added.

It did not elaborate on the reason Widad called off the deal.

While the Inovatif Mewah deal did not materialise, Widad earlier today said it has completed the acquisition of Serendah Heights Sdn Bhd, the owner of the concession to develop and maintain the UiTM campus in Jasin, Melaka, for a sum of RM127.02 million.

Shares of Widad fell seven sen to close at 56.5 sen, valuing the group at RM1.48 billion. The counter has fallen by 28.93% since the start of the year. 

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Widad Group completes acquisition of UiTM concession holder Serendah Heights