Boustead Projects extends offer closing date to Jan 10; valid acceptances at 98.76%
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In November, Boustead Singapore made an unconditional cash exit offer for Boustead Projects at $1.18 per share.
PHOTO: BOUSTEAD SINGAPORE
Michelle Zhu
SINGAPORE - The closing date for Boustead Singapore’s cash exit offer for its real estate unit, Boustead Projects, has been extended from 5.30pm on Dec 27 to the same time on Jan 10, 2024.
On Dec 26, Boustead Singapore said the group and its concert parties received valid acceptances amounting to 309,385,609 shares, or 98.76 per cent of the total number of Boustead Projects shares.
This comes after Boustead Singapore received valid acceptances amounting to 10,306,260, or 3.29 per cent of Boustead Projects, as at 6pm on Dec 22 for its exit offer priced at $1.18 per share.
Shares held by Boustead Singapore and its concert parties, before the offer was launched on Nov 14, amounted to a 95.49 per cent interest in the company.
Boustead Singapore on Dec 26 closed half a cent down at 84.5 cents, while Boustead Projects remains suspended from trading.
In February, Boustead Singapore launched its offer to acquire Boustead Projects at 90 cents per share in a deal that was not extended to Boustead Singapore’s chairman and group chief executive Wong Fong Fui and his children.
This was later raised to 96 cents per share, which was deemed “not fair but reasonable” by Boustead Projects’ independent financial adviser for the deal, PrimePartners.
Boustead Projects shareholders were advised by the Securities Investors Association Singapore, or Sias, to reject the offer unless the offer price was raised to a “fair and reasonable” amount.
The real estate unit subsequently lost its free float of 10 per cent following acceptances of the 95 cent-per-share offer, leading to the counter’s suspension. It was directed by the Singapore Exchange to either restore its free float or provide shareholders with an exit offer that is both fair and reasonable.
In November, Boustead Singapore made an unconditional cash exit offer for Boustead Projects at the latest offer price of $1.18 per share. This higher price was also being offered to Mr Wong and his children, who collectively held a 19.97 per cent stake in Boustead Projects. THE BUSINESS TIMES
