Tee International minority shareholders foil buyout offer at scheme meeting

Mr Phua Chian Kin, group CEO of Tee International.
Mr Phua Chian Kin, group CEO of Tee International.PHOTO: BUSINESS TIMES

SINGAPORE - Shareholders of property, engineering and infrastructure group Tee International have foiled an attempt by group chief executive Phua Chian Kin to take the group private.

At a scheme meeting held at Seletar Country Club on Monday (Aug 21) morning, 156 out of a total of 190 shareholders representing 102 million shares or 74.84 per cent of the total number of shares present and voting voted for the scheme.

This was less than the 75 per cent approval level needed for the scheme to pass.

A total of 34 shareholders representing 25.16 per cent of the total number of shares present and voting rejected the scheme.

Mr Phua, together with other concert shareholders who hold a combined 60.04 per cent of Tee International, did not vote on Monday.

Mr Phua had offered to buy out shareholders at 21.5 Singapore cents a share, just slightly above the group's net asset value of 20 cents a share as at Feb 28. The offer price also represents a 12 per cent premium to Tee's volume weighted average price per share for the three-month period leading up to the last market day before the offer was made in April.

The shares remain halted for trading. They last traded at 21 Singapore cents last Friday.