SINGAPORE - Shares of oilfield service firm CH Offshore Ltd rose 7.8 per cent to 55 cents, the highest since October 2010, on Tuesday morning (Feb 10) after a sweeteened takeover offer.
Falcon Energy Group Ltd on Monday (Feb 9) raised its offer price for its bigger and better-performing associate to 55 cents per share from 49.5 cents. Falcon Energy is the biggest shareholder in CH Offshore, with a 29.07 per cent stake.
Falcon received an undertaking on Monday from Chuan Hup Holdings, which owns 24.7 per cent of CH Offshore, to accept the improved offer. When added to Falcon's own 29.1 per cent stake, the offeror will easily cross the majority 50 per cent threshold to make its voluntary offer unconditional.
Falcon Energy shares were flat at 28.5 cents on Tuesday morning.
The offer closes on Feb 27.