Second Chance founder Mohamed Salleh and family offer to take firm private at 30 cents per share
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Second Chance CEO Mr Salleh and family said that they intend for the company to continue to develop and grow its existing businesses.
PHOTO: BERITA HARIAN FILE
Chong Xin Wei
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SINGAPORE – The founder and chief executive of Second Chance Properties, Mr Mohamed Salleh Marican, and his family proposed on July 10 to privatise the company at 30 cents per share in cash through a voluntary unconditional offer.
As at July 10, the company has an issued and paid-up share capital of about $174.7 million, comprising 927.8 million shares.
The offer price of 30 cents per share represents a premium of about 39.5 per cent over Second Chance’s last traded price of 21.5 cents on July 9, the last full trading day before the offer announcement.
It also represents premiums of about 40.8 per cent, 37 per cent, 33.3 per cent and 28.2 per cent over the one-month, three-month, six-month and 12-month volume-weighted average prices, respectively, up to and including the last trading date.
Mr Salleh and his family said that they intend for the company to continue to develop and grow its existing businesses.
They added that the offer presents shareholders with a “clean cash exit opportunity” to realise their investment at a premium without incurring brokerage and other trading costs.
Other reasons include the low trading liquidity of Second Chance’s shares, with average daily trading volumes representing less than 0.01 per cent of the total issued shares as at July 10.
Additionally, the company has incurred costs related to maintaining its listing status, which could be avoided if delisted.
Mr Salleh was one of former GIC chief investment officer Ng Kok Song’s assentors when the latter ran for the presidency of Singapore in 2023.
He also applied to contest in the 2017 presidential election but did not qualify to run.
Second Chance was listed on the Singapore Exchange’s mainboard in 2004, and its core businesses include property investment, retailing of apparel and gold jewellery, and investing in financial instruments.
Shares in Second Chance ended flat at 21.5 cents on July 9. The company called for two trading halts on July 10, once before the market opened and another after it released the announcement. THE BUSINESS TIMES
