Billionaire developer and chicken king buy 10pc of VC Chapmans
Venture capitalist Chapmans has sold a 10 per cent stake to two Malaysian businessmen: a billionaire developer and a chicken king.
Developer Abu Sahid Bin Mohamed and poultry farmer Tuan Nguang Lau each bought 65 million Chapmans (ASX:CHP) shares, at an issue price of 0.5c, giving them each a 5 per cent share of the company.
The shares fell 17 per cent to 1c after the deal was announced on Wednesday, valuing the company at $9.14 million.
The new cornerstone investors arrive just days after Chapmans brought in blockchain consultant Mike Cohen in a shift away from its prior cannabis focus.
Rags-to-riches billionaire Abu Sahid Bin Mohamed is well known in Malaysia for his privately held infrastructure and construction companies. He is behind the country’s main expressway network and a 25-storey office precinct in the capital of Kuala Lumpur.
Mr Lau is an exec of the oldest and largest poultry group in Malaysia, with more than 30 years experience in the agriculture and livestock industries.
“Together, the two new strategic investors provide a cornerstone investment for Chapmans that will help enable the Company to aggressively pursue its high conviction, high growth investment strategy,” Chapmans told investors.