Consortium launches takeover bid for food service provider Select Group

SINGAPORE - Catalist-listed Select Group is the subject of a takeover bid by a consortium led by Dymon Asia Private Equity, which is linked to Temasek Holdings.

The consortium, International Culinary Management (ICM), wants to privatise the food service provider, and has offered a 23.53 per cent premium over Select's last transacted price per share on March 18, the Group said in a stock exchange filing on Wednesday.

ICM, which is 45 per cent owned by Delish, a unit of Dymon Asia Private Equity (Dape), is offering 52.5 Singapore cents per share in a voluntary conditional share offer.

"The offer provides shareholders who find it difficult to exit the company as a result of the low trading volume in shares with an opportunity to liquidate and realise their investment in the shares at a premium," ICM said in a statement.

Dape, which invests in small and medium sized firms across Southeast Asia, is managed by Singaporean-based Dymon Asia Capital (Singapore), which manages several alternative investment funds with aggregate assets under management of about US$5 billion (S$6.8 billion).

The offer is conditional on more than 50 per cent of the shares being acquired by ICM. This threshold looks likely to be reached as investors holding about 53.57 per cent of the 142.38 million issued shares have undertaken to accept the offer, the statement added.

Select Group executive chairman and managing director Vincent Tan Chor Khoon and executive director Tan Choh Peng are also among the shareholders of ICM.

Select Group's core businesses include Chinese fine dining, events catering, Thai casual dining, themed food courts, as well as dessert chain.

wongsy@sph.com.sg