Shareholders from the Cheng family plan to make a buyout offer for LTC Corporation stock at 92.5 cents a share.

The offer is more than the highest closing price of LTC shares since January 1998 and is a premium of 44.5 per cent over the stock's last close of 64 cents on Feb 8. It is also a premium of around 46.1 per cent over the one-month volume-weighted average price and 49.4 per cent above the 12-month average.

LTC is involved in property rental and development and steel trading in Singapore and Malaysia. Mountbatten Enterprises, the family's bid vehicle, has secured irrevocable undertakings for about 48.54 per cent of LTC stock.

While the offer price is final, Mountbatten may revise it if a competitive situation arises.

The proposed takeover is conditional on Mountbatten receiving acceptances of at least 90 per cent of the issued shares at the close of the offer. The bid vehicle also reserves the right to reduce the 90 per cent acceptance condition to a lower level, but one that is still above 50 per cent of the total number of issued shares, LTC said.

Mountbatten comprises LTC's controlling shareholders - LTC managing director Cheng Yong Liang and his brothers Yong Kim, Yong Kwang and Yoong Choong - along with Lion Investment (Singapore) and Lion Realty Private. Lion Investment and Lion Realty are family investment vehicles, majority owned by the Cheng brothers.