[SINGAPORE] Property development group Sinarmas Land requested the Singapore Exchange (SGX) to suspend trading of its shares with effect from 9 am on Tuesday (Jun 3) after the Widjaja family-controlled Lyon Investments’ privatisation offer for all its shares closed on Monday.
At the close of the offer at 5.30 pm on Monday, the offeror’s resultant shareholding amounted to around 4.2 billion shares or 98.65 per cent of the total shares of Sinarmas.
This comprises 1.2 billion or around 28.35 per cent of the total number of Sinarmas shares that the offeror attained valid acceptances for, in addition to almost three billion or 70.3 per cent that it already owned as at the offer announcement date.
As a result, the percentage of Sinarmas’ total issued shares held in public hands has fallen under the minimum threshold of 10 per cent and no longer meets the SGX’s free float requirement.
Under the free float requirement, the local bourse requires that companies have a minimum of 10 per cent of their total shares outstanding held in public hands.
As Lyon Investments now owns more than 90 per cent of Sinarmas, it will proceed to acquire shares of shareholders who have not accepted the offer.
BT in your inbox
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
“Subsequent to such compulsory acquisition, the offeror will proceed to delist the company from the Singapore Exchange Securities Trading,” Lyon Investments said.
Initially, Lyon investments made a voluntary unconditional cash offer for all Sinarmas shares it did not own at the price of S$0.31 per share.
The offer price was later revised to S$0.375 per share, which is a 21 per cent increase of S$0.065 over the initial bid and higher than the counter’s highest closing price for more than six years.
The counter ended on Monday 1.4 per cent or S$0.005 higher at S$0.375, before the announcement.
Copyright SPH Media. All rights reserved.
