Shares of Malaysia's UBG up on plan to buy builders

KUALA LUMPUR, Feb 5 (Reuters) - Shares of Malaysia's UBG Bhd (UBGB.KL), a cash shell looking for a business, rose at the opening of trade on Tuesday, after the firm said it would buy stakes in two builders for 457 million ringgit ($141.3 million).

UBG, which last year sold its only real asset, an interest in RHB banking group (RHBC.KL), said it would buy 49.2 percent of Putrajaya Perdana Bhd (PUTA.KL) and 37.6 percent of Loh & Loh Corp Bhd (LOHC.KL).

Shares of UBG were up 8.4 percent at 2.45 ringgit by 0105 GMT, while those of Putrajaya Perdana were up 8 percent at 4.58 ringgit, with Loh & Loh shares up six percent at 4.60 ringgit.

Formerly known as Utama Banking Group, UBG is controlled by the family of the chief minister of eastern Sarawak state. (Reporting by Clarence Fernandez; Editing by Liau Y-Sing)