The Straits Times
Published on Sep 24, 2012

Securities Industry Council rejects F&N request for higher Thai offer


SINGAPORE (REUTERS) – Singapore’s takeover regulator rejected a request by Fraser and Neave (F&N) seeking a higher offer from a company linked to Thailand’s third-richest man for all the shares of the drinks-and-property conglomerate.

Thai billionaire Charoen Sirivadhanabhakdi, through TCC Assets, launched a $7.2 billion offer this month to buy out other shareholders of F&N at a price of $8.88 a share.

F&N’s board had said it will pay out $4 billion to shareholders following the takeover through a
capital reduction. F&N plans to cancel one for every three shares held by all shareholders and pay out $8.50 for each cancelled share.    

As such, F&N sought a ruling from Singapore’s Securities Industry Council on whether the Thais were required to raise their offer price of $8.88 per share to make up for the 38-cent
difference on the cancelled share. The regulator ruled on Friday that the Thais did not have to raise the offer price, F&N said in a statement on Monday.