Ron Sim raises offer to take Osim private to S$1.39 a share

Osim International's chairman and chief executive officer Ron Sim.
Osim International's chairman and chief executive officer Ron Sim. PHOTO: OSIM

SINGAPORE - Mr Ron Sim, Osim International's chairman and chief executive officer, has raised his offer to buy over the remaining 30.75 per cent of stake in the company that he and his family do not own to S$1.39 a share from S$1.32 previously.

There will be no further revisions made to the final offer price, Vision Three Pte Ltd, a private investment vehicle of Mr Sim, announced on Tuesday (April 5).

The final offer price represents a premium of about 38.8 per cent and 40.6 per cent to the volume-weighted average price (VWAP) a share for the corresponding one-month and three-month periods up to and including Feb 29, 2016, respectively.

It also implies a price-to-earnings ratio for the company of 20.5 times, based on the earnings per share of S$0.0679 for the financial year ending Dec 31, 2015.

Osim shareholders who have earlier accepted the offer will be entitled to receive the final offer price and need not take any further action.

 

Shareholders who accept the offer going forward will receive an amount that will be adjusted to reflect whether they have received the FY2015 final dividend of S$0.02 a share, with effect from April 6, 2016, which is the books closure date.

Shareholders who do not receive the FY2015 final dividend will receive S$1.39 a share, while those who receive the FY2015 final dividend will receive S$1.37 a share, which is the final offer price less the FY2015 final dividend.

The offer will now close on April 25, 2016, unless otherwise extended.

Mr Sim currently controls 69.36 per cent of Osim as of April 4, 2016.