SINGAPORE – The voluntary cash conditional offer made by Fragrance Group founder Koh Wee Meng to take Global Dragon private at 12 cents a share has been declared unconditional in all respects.
Mr Koh first acquired a 51 per cent stake in Golden Dragon, then known as TMC Education, in 2017. He is the sole shareholder and director of JK Global Wealth, which launched the privatisation offer on Feb 10.
As at 6pm on Wednesday, valid acceptances of the offer amounting to 30.36 per cent of Global Dragon’s share capital were attained.
Among the valid acceptances of the offer, 37.5 million shares amounting to 5.49 per cent of the company were held by shareholders other than the offeror’s concert parties.
A further 169.6 million shares held by the offeror’s concert parties, which made up 24.87 per cent of Global Dragon’s total share capital, had accepted the offer.
Between the offer announcement date and up till 6pm on Wednesday, concert parties of the offeror acquired 8.8 million target shares of Global Dragon, representing 1.3 per cent of the company. The same concert parties earlier held an 84.17 per cent interest in the company before the offer was made.
The latest level of valid acceptances brings target shares owned, controlled or agreed to be acquired by the offeror and its concert parties to an aggregate representing some 90.96 per cent of Global Dragon’s issued shares – resulting in the offer becoming unconditional in all respects.
As a result, the closing date of the offer has been extended from March 24 to April 7.
The deal values Global Dragon at $81.8 million.
While the offer price of 12 cents per share is above Global Dragon’s closing price of 10.5 cents on Feb 7 – which was Global Dragon’s last full trading day before the offer was made – it is slightly below Global Dragon’s net asset value per share of 12.18 cents as at Dec 31, 2022.
Much of that value comes from its investment properties, comprising 12 units at Peninsula Plaza.
Shares of Global Dragon ended Thursday’s trading session unchanged at 12 cents, after the offer was declared unconditional. THE BUSINESS TIMES