SIA increases offer from $0.41 to $0.45 for Tigerair share

Singapore Airlines announced an increase in its offer price for Tigerair shares, from $0.41 a share to $0.45, on Jan 4, 2016.
Singapore Airlines announced an increase in its offer price for Tigerair shares, from $0.41 a share to $0.45, on Jan 4, 2016. PHOTO: ST FILE

SINGAPORE - Singapore Airlines has increased its offer price for Tigerair shares from $0.41 a share to $0.45.

In an announcement on Monday, SIA said its offer is final.

This comes after the airline said on Dec 29 that it owns, controls or has agreed to acquire about 74.5 per cent of the budget carrier's shares - short of the 90 per cent required for the move to succeed.

Shareholders who had agreed to sell their shares at the earlier price will also be offered $0.45 a share.

The payment is conditional on SIA obtaining the required nine out of 10 shares, the airline said.

The Securities Investors Association Singapore had asked SIA's board to consider extending an earlier Dec 28 deadline and improve its offer price

Tigerair shareholders have until Jan 22 to decide whether or not to take up the offer.

SIA intends to delist Tigerair after its planned takeover to facilitate closer cooperation and integration with other carriers within the group, especially its long-haul low-cost arm, Scoot.