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PR Newswire
14-01-2015, 05:45 PM
http://www.theedgemarkets.com/sg/article...h-offshore
SINGAPORE (Jan 14): Chuan Hup Holdings ( Financial Dashboard), the second largest shareholder of CH Offshore ( Financial Dashboard) with a 23.76% stake, said it will reject the offer by Falcon Energy to buy out the rest of the company at 49.5 cents.
Falcon Energy is the largest shareholder of CH Offshore with a 29.1% stake.
"The Board wishes to announce that it has reviewed the Offer Document and the Offeree Circular and that after due consideration it has decided that, in the best interest of the Company's shareholders, it will not accept the Offer," said Chuan Hup in a regulatory filing.
On Dec 11, Falcon Energy made a cash offer for all the issued and paid-up shares in CH Offshore. The offer price was 6.45% higher than CH Offshore’s last traded price of 46.5 cents before the announcement.
However, CH Offshore’s share price continued to climb after the offer. The stock closed at 51 cents today.
Based on the 705.1 million shares of CH Offshore issued, Falcon Energy’s offer values the company at $349 million.
Falcon Energy said it had conducted a strategic review of its existing stake in CH Offshore and believed that gaining control of the latter will offer the group an attractive platform to build on its businesses in offshore support services.
The company said it intends to maintain the listing of CH Offshore following successful completion of the takeover offer. It may however undertake a review of the CH Offshore and may embark on programmes to optimise efficiency in the business operations and the capital management of the enlarged group.
For the quarter ended Sept 30, CH Offshore earned US$5.6 million, down from US$7.4 million a year earlier despite a 15% rise in revenue. The results in the previous quarter were boosted by a write-back of provisions.
SINGAPORE (Jan 14): Chuan Hup Holdings ( Financial Dashboard), the second largest shareholder of CH Offshore ( Financial Dashboard) with a 23.76% stake, said it will reject the offer by Falcon Energy to buy out the rest of the company at 49.5 cents.
Falcon Energy is the largest shareholder of CH Offshore with a 29.1% stake.
"The Board wishes to announce that it has reviewed the Offer Document and the Offeree Circular and that after due consideration it has decided that, in the best interest of the Company's shareholders, it will not accept the Offer," said Chuan Hup in a regulatory filing.
On Dec 11, Falcon Energy made a cash offer for all the issued and paid-up shares in CH Offshore. The offer price was 6.45% higher than CH Offshore’s last traded price of 46.5 cents before the announcement.
However, CH Offshore’s share price continued to climb after the offer. The stock closed at 51 cents today.
Based on the 705.1 million shares of CH Offshore issued, Falcon Energy’s offer values the company at $349 million.
Falcon Energy said it had conducted a strategic review of its existing stake in CH Offshore and believed that gaining control of the latter will offer the group an attractive platform to build on its businesses in offshore support services.
The company said it intends to maintain the listing of CH Offshore following successful completion of the takeover offer. It may however undertake a review of the CH Offshore and may embark on programmes to optimise efficiency in the business operations and the capital management of the enlarged group.
For the quarter ended Sept 30, CH Offshore earned US$5.6 million, down from US$7.4 million a year earlier despite a 15% rise in revenue. The results in the previous quarter were boosted by a write-back of provisions.
