KUALA LUMPUR: EON Capital Bhd's board of directors has resolved that Hong Leong Bank Bhd's RM4.92 billion cash offer for its entire assets and liabilities as not in the interests of EON Capital and its shareholders.

EON Cap said on Tuesday, Feb 2 the conclusion was made after consulting its advisers and considering all available information, its board of directors resolved that the offer was not in their favour.

"Accordingly, the board of directors has resolved not to table the offer for consideration and approval by EON Capital’s shareholders at a general meeting and not to submit an application to the relevant authorities for approval to accept the offer," it said.

EON Cap said it had written to Hong Leong Bank to inform the latter about the board's resolution.

EON Capital chairman Tan Sri Syed Anwar Jamalullail said on Jan 25 that Hong Leong Bank's offer price as "significantly" undervaluing the targeted banking group.

He was quoted saying it had "sought clarification" from Hong Leong Bank on a range of details in its acquisition proposal, with a particular focus on valuation.

“The board is evaluating this approach but on the face of it, the offer price significantly undervalues EON Capital... In evaluating the Hong Leong Bank offer, we will consider all alternatives open to us in order to fulfil our responsibility to shareholders,” he had then said.