After delisting last year, Keppel Land has now proposed to cancel all remaining shares apart from those held by Keppel Corporation.

If the selective capital reduction exercise is approved, shareholders will receive $4.24 for each share cancelled, Keppel Land said late last night.

This is the same amount paid to shareholders who had tendered their shares in the voluntary unconditional cash offer by KepCorp last year, after they received the FY2014 dividend of $0.14 per share.

The new exercise involves reducing the share capital of Keppel Land from $2,408,649,022.59 and comprising 1,546,881,101 shares to $2,360,737,590.75, comprising 1,535,581,235 shares.

This represents a $47,911,431.84 reduction in Keppel Land's total issued share capital.

KepCorp owns 99.27 per cent of Keppel Land after a post-offer share acquisition.

KepCorp could only compulsorily acquire all the remaining shares in Keppel Land if it obtained 90 per cent of the total shares it did not already own by the end of its voluntary unconditional cash offer period on March 31 last year. This works out to about 95.5 per cent of total shares issued in Keppel Land.

But KepCorp only secured 95.1 per cent of the total shares by the end of the offer period and so did not meet the compulsory acquisition threshold.

"Since the delisting of Keppel Land, the company has received many queries from shareholders on how they could trade their shares," said KepCorp in a statement.

"As there is no public market for the shares of Keppel Land, the selective capital reduction will allow participating shareholders to realise the value of their investment in Keppel Land."

The proposal must be approved by at least 75 per cent of all shares voted by shareholders present and voting at the upcoming extraordinary general meeting.

When asked how many minority shareholders are left, a KepCorp spokesman said it would not be meaningful to quote the number as they comprise institutional investors as well as individuals.

If approval is not granted, all participating shareholders will continue to hold stock of Keppel Land and will not receive the cash distribution of $4.24 per share.

An earlier version of this story attributed this sentence, 'If the selective capital reduction exercise is approved, shareholders will receive $4.24 for each share cancelled,' to KepCorp. It should be Keppel Land. We are sorry for the error.