SINGAPORE - The controlling shareholders of Auric Pacific Group Ltd, the maker of Sunshine Bread and owner of Food Junction food courts and Delifrance cafes, have offered to buy the company and take it private.
The offer was made by Silver Creek Capital, an investment holding entity jointly owned by Dr Stephen Riady and his son-in-law Dr Andy Adhiwana. They are controlling shareholders and executive directors of Auric Pacific, with Dr Adhiwana also its group chief executive officer.
Their offer price of S$1.65 in cash per share is final, Silver Creek Capital announced on Tuesday (Feb 7) through RHB Securities Singapore Pte Ltd.
If successful, Silver Creek Capital intends to delist the company from the Singapore Exchange, and "ultimately, to privatise" it.
Auric Pacific on Tuesday morning requested for a trading halt.
Dr Riady and his family indirectly hold 49.28 per cent of Auric Pacific shares thorugh Hong Kong-listed Lippo China Resources Ltd while Dr Adhiwana holds 27.44 per cent of its shares indirectly through Goldstream Capital Ltd.
As at Tuesday, Silver Creek Capital does not hold any Auric Pacific shares. Silver Creek Capital said Dr Riady is its majority shareholder, while Dr Adhiwana holds at least a 20 per cent share.
It said its offer is a chance for minority shareholders of Auric Pacific to realise their investment in the company for a cash consideration at a "significant premium" above the historical market share prices, without incurring any brokerage and other trading costs."
The closing price of the shares have not been at or above the offer price of S$1.65 since December 1999, said Silver Creek Capital.
It added that the offer price represents an approximately 13.4 per cent premium above the share's closing price on Feb 3, its last traded day before the offer announcement.
It is also approximately at a 17.8 per cent, 23.8 per cent, 35.8 per cent and 59.6 per cent premium above the volume weighted average price per share for the one-month, three-month, six-month and 12-month period prior to and including the last traded day, respectively.
In a separate SGX filing relating to the takeover offer, Auric Pacific said it is currently exploring a possible impairment of intangible assets comprising customer relationships arising from the acquisition of the Food Junction business and certain leasehold improvement and equipment in its Delifrance factory in its full year results for the year ended Dec 31, 2016.
It said the unaudited carrying amounts as of Dec 31, 2016, of customer relationships arising from the acquisition of the Food Junction business and certain leasehold improvement and equipment in its Delifrance factory under review amount to S$2.4 million and S$2.7 million respectively.
For the nine months to Sept 30, 2016, Auric Pacific posted S$7.6 million in net profit on revenue of S$317.6 million. The group net assets attributable to Shareholders stood at S$168.0 million as of Sept 30, 2016.