KUALA LUMPUR : Local stock market players approved of Malaysia Building Society Berhad (MBSB)'s takeover of Malaysian Industrial Development Finance (MIDF) from Permodalan Nasional Berhad (PNB) for RM1.01 billion, with buying pressure pushing up MBSB's share price almost four per cent higher in early trade Monday.

MBSB's share price closed 2.5 sen higher at 65.5 sen with some 40.6 million shares traded at 12.30pm.

It was the sixth most actively traded counter in the morning session.

Last Friday, MBSB announced that the deal with PNB to take over MIDF would be satisfied via an issuance of 1.05 billion new shares in MBSB at an issue price of RM0.9652 a share.

Upon completion, MIDF will become a subsidiary of MBSB while the Employees' Provident Fund Board and PNB's interests in MBSB will be approximately 57.45 per cent and 12.78 per cent, respectively.

The purchase price represents a price-to-book ratio of 0.85 times of MIDF's adjusted net assets as at December 31, 2022.