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Kuok to buy 34.9pc of Post

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SCMP Reporter

MALAYSIAN businessman Robert Kuok Hock Nien yesterday signed an agreement worth almost HK$2.7 billion to buy a 34.9 per cent stake in South China Morning Post publishing group.

The seller is Rupert Murdoch's News Corporation, which is reducing its holding from 50 per cent to 15.1 per cent.

Kerry Media Ltd, described as an associate of Mr Kuok's Kerry Group, is paying US$349 million for its holding, according to a statement that News Corp submitted to the Australian Stock Exchange yesterday.

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At Friday's closing exchange rate of HK$7.73, the stake is valued at $2.697 billion.

These terms put a value of HK$7.73 billion on the Post group, which includes the South China Morning Post, Sunday Morning Post and Wah Kiu Yat Po.

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At this price, SCMP shares are valued at around HK$5.15 each - below the $5.35 at which they were suspended on September 3, after hectic trade on the stock market.

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