MISC tells why it scrapped deal to takeover Ramunia

MISC Bhd (3816) says concerns over the falling value of assets as well as projected costs and revenue have led to it scrapping a RM3.2 billion deal to take over Ramunia Holdings Bhd.

Among others, MISC said the fall in Ramunia's net assets per share in its audited accounts for the year to October 31 2007 and the quarter to July 31 2008 was a factor.
"In addition, our due diligence audit findings indicated that the net asset per share may further deteriorate," MISC said.
However, MISC said these should not be construed as representations of facts and it was disclosing the reasons as a gesture of goodwill. It is not legally obliged to do so, it said.
Ramunia said it will focus on strengthening the execution of existing contracts from oil majors such as Woodside Australia, Sarawak Shell Bhd and Petronas Carigali Sdn Bhd.