Esso sale, Mahathir family involved

Datuk Seri Anwar Ibrahim wants the government to explain why it allowed one of the country’s critical assets to be sold to a foreign entity, pointing out that the sale of ExxonMobil’s stake in oil refiner Esso Malaysia was below market price.

The opposition leader also demanded Putrajaya explain the potential conflict in the deal because of the interests of the family of Tun Dr Mahathir Mohamed.

The former prime minister’s son, Mirzan Mahathir, was previously a board director of San Miguel Corp. The Philippines conglomerate is the biggest food and beverage conglomerate in the Philippines and the owner of San Miguel Brewery Inc.

San Miguel Brewery controls 95 per cent of the Philippines beer market. It has since diversified into infrastructure, public utility and energy requirements in the Philippines.

“More importantly is the transfer of nationally strategic assets, such as a refinery complex and petrol station network, to an entity with hardly any experience or presence in Malaysia previously.

“While the sum may have been a bona fide amount decided on commercial grounds, the interest of minority shareholders took a beating when the deal prompted such a huge drop in share price. I urge the relevant parties, including Securities Commission and Minority Shareholder Watch Group, look closely at the deal to ensure the interest of minority shareholders was not trampled,” Anwar said in a statement today.

Anwar said that Mirzan still remained a director of Petron Corporation — an associated company of San Miguel Corp that owns a network of refineries and petrol dealership in the Philippines even though the latter had resigned from the board of San Miguel Corp in April 2010.

“Therefore, it is only natural that questions are raised whether the acquisition of Esso’s downstream assets was completed at such a price on his behalf?

“This is even more pertinent as his brother Mokhzani Mahathir had already benefitted greatly from the upstream sector of the oil and gas industry through Kenchana Petroelum; especially when their father (Dr Mahathir) is conveniently the advisor of Petronas,” added the PKR defacto leader.

Shares in Esso fell as much as 18 per cent yesterday after Philippine conglomerate San Miguel offered to buy ExxonMobil’s stake in the Malaysian oil refiner at a lower price than the current market value.



comments


This deal need to be looked into. Why are we letting a foreign entity buying our sensitive asset and without enquiry from the SC or relevent body?

Something was very fishy about the Esso deal. It is very RARE that a takeover price is LESS THAN the stock price.

This transaction should be investigated, if only to vindicate the parties involved.

Where is the useless MACC?

Oops, I forgot. They only investigate the opposition over small amount of money.

This case involves millions of ringgit. MACC does not know how to count above few thousand ringgit. So this will be classified as NFA (No Further Action).

In Thailand, Taksin Shinawatra has been indicted and currently a wanted man . In M'sia these cheating politicians is still free to flaunt their ill gotten riches