OCBC, GEH extend WBL disposal deadline

OCBC Bank, Great Eastern Holdings (GEH) and a joint venture between Yanlord Land and Perennial Real Estate Holdings will amend an earlier sale and purchase agreement regarding WBL shares.
OCBC Bank, Great Eastern Holdings (GEH) and a joint venture between Yanlord Land and Perennial Real Estate Holdings will amend an earlier sale and purchase agreement regarding WBL shares. PHOTOS: ST FILE

OCBC Bank, Great Eastern Holdings (GEH) and a joint venture between Yanlord Land and Perennial Real Estate Holdings will amend an earlier sale and purchase agreement regarding WBL shares in the light of United Engineers' (UE) offer for the firm.

Yanlord Perennial Investment (YPI), the Yanlord-Perennial joint venture, is seeking to take WBL private through UE, which it took over in September.

YPI had earlier undertaken to acquire an additional 19.9 per cent stake in WBL from OCBC, GEH and other vendors three months and one business day after YPI's bid for UE closed in September.

That reference date will now be extended but to no later than May 18 next year.

UE, which owns 67.59 per cent of WBL, made a pre-conditional voluntary unconditional cash offer last week for all the shares of WBL it does not already own for $2.07 each.

YPI owns 10 per cent of WBL. If it exercises its undertaking to acquire the additional 19.9 per cent through the OCBC-GEH agreement, it will own 92.25 per cent of WBL shares not owned by UE.

YPI has agreed to tender its WBL shares, including the additional 19.9 per cent stake that it plans to acquire, in acceptance of UE's offer.

YPI has agreed to tender its WBL shares, including the additional 19.9 per cent stake that it plans to acquire, in acceptance of UE's offer.

With that undertaking, UE has stated that it intends to exercise its right to compulsorily acquire the rest of WBL following the completion of its takeover, and make WBL a wholly owned subsidiary.

Yanlord closed flat at $1.59 yesterday, while Perennial ended 0.5 cent higher at 86.5 cents.

A version of this article appeared in the print edition of The Straits Times on December 20, 2017, with the headline 'OCBC, GEH extend WBL disposal deadline'. Print Edition | Subscribe