The maker of Indomie instant noodles, Indofood Sukses Makmur, has raised its buyout offer price for Indofood Agri Resources (IndoAgri) to 32.75 cents per share from 27.75 cents previously, the mainboard-listed company announced in a bourse filing yesterday.
On Friday, CIMB had announced the revision in a Singapore Exchange (SGX) filing on behalf of the offeror.
The revised offer price represents a 26 per cent premium to IndoAgri's last traded share price of 26 cents on April 5, and a 42.1 per cent premium to its volume-weighted average price (VWAP) of 23.04 cents for the month up to the last trading day.
However, the new offer price still represents a 59 per cent discount to IndoAgri's unaudited net asset value per share of 79.8 cents, slightly down from the 65.2 per cent discount with the previous offer price. The offeror does not intend to revise the final offer price.
The Indonesian conglomerate and its concert parties owned 82.35 per cent of IndoAgri as at Friday, still shy of the 90 per cent threshold for the offer to turn unconditional.
The buyout offer for IndoAgri has received valid acceptances from shareholders, excluding concert parties, representing 7.82 per cent of IndoAgri's total shares as at Friday.
Given the offer price revision, IndoAgri will send a supplemental letter to shareholders with the advice of independent financial adviser Novus Corporate Finance.
In a previous letter, Novus had advised that the initial offer price of 28 cents per share, which was later adjusted to 27.75 cents in view of the FY2018 dividend, was "not fair but reasonable" and recommended that shareholders accept the offer.
Reasons that Novus had deemed the original offer "not fair" were that the offer price was at a "significant discount" to IndoAgri's NAV per share, and that the premia of the offer price over the one-month, three-month and six-month VWAP was lower than the mean and median premia of those in previous privatisations.