Viking Offshore & Marine gets mandatory unconditional cash offer at one cent per share

Viking said the offer is made solely to comply with the code arising from the acquisition. PHOTO: SCREENGRAB FROM GOOGLE MAPS

SINGAPORE (THE BUSINESS TIMES) - Viking Offshore and Marine has received an unconditional cash offer from a group of businessmen at one cent a share, for all of its issued and paid-up ordinary shares.

The joint offerors comprise Mr Toh Kok Soon, Synergy Supply Chain Management, Irelia Management, Tristan Management and Subtleway Management.

In a bourse filing on Thursday (Nov 18), the Catalist-listed firm said the offerors have acquired about 87 per cent of the total issued shares in the company, or 477.9 million shares, from Blue Ocean Capital Partners and the company's chief executive and executive director Ng Yeau Chong.

Viking said the offer was made solely to comply with the code arising from the acquisition. There is currently no intention to introduce any major changes to the existing businesses of the group, redeploy the fixed assets of the group or discontinue the employment of group employees, other than in the ordinary course of business.

However, the joint offerors will, on close of the offer, review their strategic options in relation to the existing businesses to "release their value".

The offer price represents a 91.2 per cent discount to the volume-weighted average price (VWAP) per share of 11.3 cents for the three-month period and 87.2 per cent discount to the VWAP per share of 7.8 cents for the one-month period, up to and including the last trading date.

As at the offer announcement date, the company has an issued and paid-up share capital of $106.5 million comprising 549.4 million shares, excluding 159,230 treasury shares.

The board will appoint an independent financial adviser (IFA) to advise the directors of the company in regards to the offer. A circular containing the advice of the IFA and the recommendations of the independent directors will be sent to shareholders within 14 days of the date of despatch of the offer document.

Shares of Viking closed up 1.4 cent, or 18.4 per cent, at nine cent, prior to the announcement.

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