Tsit Wing's free float near stock exchange's stipulated minimum level

THE ongoing takeover exercise for food and beverage supplier Tsit Wing International Holdings has driven the firm's public float near the minimum level stipulated by the Singapore Exchange.

As of Thursday, only 11.16 per cent of Tsit Wing remained in public hands. This means that it is only 1.16 per cent, or 2.476 million shares, away from losing the minimum public float.

Listing rules stipulate that at least 10 per cent of a company's shares must be in the "public float" - otherwise known as the "free float" - for it to remain listed. If Tsit Wing falls below this level, it could be delisted.

Last month, Tsit Wing's chairman and chief executive Peter Wong launched a general offer through his special vehicle Hero Valour. This followed his acquisition of a substantial stake in Tsit Wing, which triggered a mandatory conditional cash offer.

The offer price of 30.75 cents had been a 37 per cent premium to its last traded price of 22.5 cents on May 13 - valuing Tsit Wing at about $65.5 million.