Hot Stock Eastland falls 17% after denial by PM's son

Hot Stock Eastland falls 17% after denial by PM's son
Business & Markets 2013
Written by Chong Jin Hun of theedgemalaysia.com
Thursday, 11 July 2013 14:49

KUALA LUMPUR (July 11): Eastland Equity Bhd extended losses, falling as
much as 17% after Mohd Nazifuddin Najib refuted rumours that he is seeking
control over the property developer, dealers said.
At 2.37pm, Eastland was traded at 90.5 sen with some six million shares
done. The fourth-largest decliner across the exchange had earlier fallen as
much as 17.5 sen to 88.5 sen.
"There is selling pressure on the stock," a dealer told theedgemalaysia.com
over telephone today.
The dealer, however, said the stock could have found its support at 90 sen
after paring losses from its intradaylow of 88.5 sen.
Yesterday, Eastland shares fell 12 sen or 10% to RM1.06.
Bernama, quoting sources, had earlier reported that Nazifuddin who is Prime
Minister Datuk Seri Najib Razak’s son, is seen to be entering the frayto
thwart a group led by businessmen Teh Soon Seng, over control of Eastland.
According to the report, the two groups would likely battle for control of
Eastland, the jewel in the crown, of which, is the Renaissance Kota Bharu,
the onlyfive-star hotel in Kota Baru, Kelantan.
These rumours come at a time when Eastland is planning a private
placement of shares in the company.
Eastland formerlyknown as FURQAN BUSINESS ORGANISATION [] Bhd,
has appointed M&A Securities Sdn Bhd as the main adviser for the private
placement.
Eastland also said it will sign a joint-venture agreement with Zalam Corp Sdn
Bhd to jointly develop a piece of vacant land in Kota Bharu. Eastland which
owns the land, said Zalam is an "unrelated party".