The Singapore Exchange (SGX) has directed Pertama Holdings, a retailer, wholesaler and distributor of consumer electronics products in Singapore and Malaysia, to delist from the bourse.
This comes as shares in Pertama have been suspended from trading since January 27 last year, after the proportion of shares in public hands fell below 10 per cent.
Only about 7.77 per cent of Pertama's total issued ordinary shares are held by the public. The controlling shareholder, Harvey Norman Singapore, and its 60 per cent subsidiary Harvey Norman Ossia (Asia) together hold 83.16 per cent of Pertama's shares.
Harvey Norman said in a statement on Monday morning that it has no intention to restore Pertama's public float to enable it to continue its listed status.
It added that it had received a directive from SGX on May 31 this year to delist Pertama, in light of the prolonged suspension in the trading of Pertama's shares, and to make a "reasonable exit offer" to the other shareholders of the company.
Harvey Norman last Friday presented to Pertama's directors a proposal to make an exit cash offer, at 65 cents a share, to acquire all the issued shares in Pertama that are not already owned by Harvey Norman and its subsidiaries.
The offer will be unconditional. Pertama shareholders may accept the offer in full or in part.
An exit offer letter will be dispatched to Pertama's shareholders in due course, Harvey Norman said on Monday.