With the proliferation of government intervention in the market nowadays, the terms privatization and nationalization can be confusing. For instance, PNB which has expressed its interest to take MIDF private:
PETALING JAYA: Pemodalan Nasional Bhd (PNB) has proposed to take private Malaysian Industrial Development Finance Bhd (MIDF) by buying the remaining 79.98% shares it does not own for RM1.90 each. [PNB offers RM1.90 to take MIDF private. The Star. August 14 2007]
Take private?
PNB is no private equity entity. Instead, PNB is an investment firm ultimately wholly-owned by the government of Malaysia through Yayasan Pelaburan Bumiputra. Wouldn’t that mean this exercise would actually nationalize MIDF?