Temasek, SMRT to engage with shareholders, SIAS to discuss acquisition

An SMRT train leaves a station in Singapore on July 19.
An SMRT train leaves a station in Singapore on July 19. PHOTO: REUTERS

SINGAPORE - Temasek and SMRT have welcomed the opportunity to engage with SMRT shareholders and SIAS to discuss proposed acquisition of the transport firm by the investment company.

Temasek, last week, offered S$1.68 a share to buy out the troubled SMRT which has seen multiple breakdowns on its lines in the past few years. A successful buyout will see SMRT delisted from the Singapore Exchange (SGX), 16 years after it went public.

In a joint statement issued on Thursday, Temasek and SMRT said they have proactively reached out to Securities Investors Association (Singapore) to arrange meetings to discuss the proposed acquisition.

"We welcome the opportunity to engage in a dialogue with SIAS, and SMRT shareholders, about this proposed transaction in the lead-up to the scheme meeting later in the year," the statement said.

SMRT expects to convene a scheme meeting by October where shareholders will vote on the proposal. Temasek will abstain from voting. Shareholders will receive a detailed document outlining the proposal before the meeting, it said.