Lau Swee Nguong, chairman of Sibu-based KTS Group of Companies which owns several newspapers in Sarawak and the peninsula, made the offer at a press conference on Sunday.

The reasons:

* To ensure the healthy advancement of the Chinese media's future development; and

* To respond to scores of requests from friends in the community.

The condition: buyers should not own more than 5% of the entire paid-up capital of Nanyang, which publishes Nanyang Siang Pau and China Press.

KTS Group owns the Oriental Daily News, See Hua Daily News, The Borneo Post and Utusan Borneo.

Lau, 81, said the Chinese community was greatly dismayed last Oct 17 when it emerged that Tiong, who owned Sin Chew Media Group, had assumed control of Nanyang after MCA's investment arm Huaren Holdings Sdn Bhd sold 21.02% of its stake in the newspaper company to Ezywood Option Sdn Bhd.

He said he would never imagine how the two vernacular newspapers, which had their own operations and styles, could be owned by one man.

"The general consensus among the Chinese community is that monopoly of the Chinese media is inevitable with Tiong's family simultaneously owning stakes in both Sin Chew Media Group and Nanyang.

"This effectively stifles the opinion of the Chinese print media," he said.

Lau said the reaction of the community was similar to what had occurred five years ago when it vehemently opposed the MCA's acquisition of Nanyang. He said it was on the premise of seeking a solution to the impasse and to respond to scores of requests from friends in the community that he was making the offer.

"I shall accept and purchase all shares owned by Tan Sri Tiong Hiew King and upon completion of the transaction, I would split the shares and re-sell them to any corporation, society or individual from the Chinese community with a public covenant of no such corporation, society or individual shall own more than 5% of the entire paid-up capital of the company," he said in a statement.

He, however, did not disclose the offer price, but said he was making the offer together with the Chinese community. Speaking in Mandarin, Lau, who like Tiong is from Sibu, said he was also extending the offer to other shareholders in the company, including Huaren.

To kick things off, Lau said he would raise RM5 million and donate it to the community to help it buy Nanyang shares.

"I sincerely hope that the parties concerned would respond favourably to my proposals in the advancement of and for the benefit of the Chinese culture," he said.

When asked if acquisition of Nanyang, which was still in the red, would affect the community, Lau said one could not view the newspaper business as a commercial investment which (was) expected to make big profits, but should see it as an effort to promote the advancement of Chinese culture and education.

"Media should play their role as contributors to society, so do not expect to earn a lot of money from the business," he said.

Lau answered several questions during the 30-minute press conference:

* Nanyang's losses: He said with a different group of people at the helm, things would also change.

"For example, Sin Chew was suffering losses before it was taken over by Tiong, but once Tiong bought over Sin Chew, the situation had improved," he said.

* Conflict of interest, since KTS also owns Oriental Daily:

He said the Nanyang offer was made in his personal capacity.

Lau added that he would make his next move by approaching Tiong only after the latter had responded to his offer.

Nanyang Siang Pau was set up by the late Tan Kah Kee on Sept 6, 1923 in Singapore and was seen as an establishment paper and a favourite with the business community.

Nanyang's acquisition by Huaren on May 28, 2001 divided the MCA and sparked a protracted leadership crisis. The MCA purchase resulted in a mass boycott of the newspaper by the community.