United Engineers Limited (UE), through its subsidiary UE Centennial Venture Pte Ltd, plans to launch an all-cash pre-conditional voluntary general offer to takeover WBL Corporation Limited (WBL) at S$4.00 per share.
"UE has been exploring opportunities to make a substantial acquisition that will be transformational in nature. We believe that WBL will give us the scale and scope, as well as the geographic diversification, to achieve our strategic ambition," said Jackson Yap, Group Managing Director and CEO of UE.
The offer, which values WBL at around S$1.1 billion, is for the "remaining 61.7 percent of WBL, or 167.6 million shares, and all outstanding convertible bonds in WBL" that are not owned by UE Centennial Venture and its concert parties.
Owning 38.3 percent interest in WBL, the involved parties comprise the Great Eastern Group, the OCBC Bank Group, the Lee Group and the directors of UE Centennial Venture.
Meanwhile, the offer price "is at a 19.0 percent premium to a competing cash offer (adjusted for dividend)" and represents a "14.0 percent, 13.3 percent and 12.0 percent premium to the last transacted price on 23 November 2012, one-month volume weighted average price (VWAP) and three-month VWAP up to 23 November 2012, respectively."
As a major transaction under Chapter 10 of the SGX-ST's Listing Manual, the offer is subject to the approval of UE shareholders at an extraordinary general meeting to be held on 31 May 2013.Cheryl Tay, Editor of CommericalGuru, wrote this story. To contact her about this or other stories, email cheryltay@allproperty.com.sg Related Stories:2012 a record investment year for SingaporeKeppel REIT to acquire 50% interest in Perth office towerChangi Road office building up for tender
No comments:
Post a Comment