Ong Beng Seng, Wheelock raise offer for HPL to $4 per share

HPL's founder Ong Beng Seng (above) and Wheelock Properties, who are tying up to buy out the hotel company, have raised their offer to $4 a share, from $3.50 previously. BT FILE PHOTO: ARTHUR LEE CH
HPL's founder Ong Beng Seng (above) and Wheelock Properties, who are tying up to buy out the hotel company, have raised their offer to $4 a share, from $3.50 previously. BT FILE PHOTO: ARTHUR LEE CH

SINGAPORE - Shareholders of Hotel Properties Limited (HPL) have received a sweetened offer for their shares.

HPL's founder Ong Beng Seng and Wheelock Properties, who are tying up to buy out the hotel company, have raised their offer to $4 a share, from $3.50 previously.

This comes after the offerors agreed to buy 17.1 million HPL shares, or a 3.3 per cent stake, for $4 apiece. Under Singapore's Takeover Code rules, they now have to raise their offer for the rest of the shares to match this price.

In addition, the offerors said they will not deduct HPL's full-year dividends for 2013 from the offer price.

In other words, shareholders who accept the offer will receive the dividend of eight cents per share on top of the $4 offer price.

The offer will remain open until June 2.

HPL requested a trading halt on the Singapore Exchange at 9.14am on Wednesday ahead of the announcement. Before the trading halt, HPL shares had jumped 26 cents or 7.3 per cent to $3.84.