United Engineers

[tonylim]

Will YP make another offer for UE to cross the 50% threshold, to have effective control over UE and push Oxley out of the race ?

[cfa]

Y/P owns 35.2% , under the rule of SGX ,they are allow to buy only 1% of the issue shares in every 6 months . If they feel there is threat from Oxley Grp , they will have to do another g.o. , otherwise if Oxley make a g.o , then they will have to consider to accept the offer or counter bid , if they still want U.E.  .

[Jamesbond008]

Oxley asks UE to explain share sale
TUE, JUL 09, 2019 - 5:50 AM

MARISSA LEE   marilee@sph.com.sg 
@MarissaLeeBT
Singapore

THE decision by United Engineers (UE) to sell all of its treasury shares for S$56 million to undisclosed third parties last Friday was a board decision, managing director Roy Tan said on Monday.

Mr Tan was responding to concerns raised by UE shareholder and Oxley chief executive Ching Chiat Kwong, who questioned if UE had fetched the best price possible when it sold off the 3.14 per cent stake in the company at S$2.58 per share.

UE is one of the lowest-geared among property firms here with a net debt-to-equity ratio of 0.44 times, and a S$278 million cash pile as at end-March.

So UE should be gearing up if it needs to raise funds, instead of selling shares at an 18 per cent discount to book value, Mr Ching has argued. He told The Business Times: "We need to look at the whole process of how the shares were sold away at this price and see if, objectively, the board and the independent directors got the best value."

Mr Ching also expressed dismay that Oxley was not sounded out as a potential buyer for the block sale: "If we were offered, we would have seriously considered taking it up.

"Oxley has been acquiring shares in UE and during the annual general meeting last year, we did specify that if there's any intention to sell shares or issue rights, can you (the board of UE) let Oxley know. We know the value (of UE) and we will give a reasonable price that helps the company achieve better ground."

[supermariolovepizza]

What is your take on this?

Seems like the China man is playing games now, increasing his stake behind proxy... By law, they cannot increase the stake by more than 1% every year.

[Jamesbond008]

Will YP make another offer for UE to cross the 50% threshold,  to have effective control over UE and push Oxley out of the race ?

looks like the China man has made his first move...

[Jamesbond008]

Y/P owns 35.2% , under the rule of SGX ,they are allow to buy only 1% of the issue shares in every 6 months . If they feel there is threat from Oxley Grp , they will have to do another g.o. , otherwise if Oxley make a g.o , then they will have to consider to accept the offer or counter bid , if they still want U.E.  .

The placement of treasury shares is more than 1%... did YP place to their own people?

[weijian]

Oxley asks UE to explain share sale
TUE, JUL 09, 2019 - 5:50 AM

MARISSA LEE   marilee@sph.com.sg 
@MarissaLeeBT
Singapore

THE decision by United Engineers (UE) to sell all of its treasury shares for S$56 million to undisclosed third parties last Friday was a board decision, managing director Roy Tan said on Monday.

Hi JamesBond088,
Thanks for posting this here but please provide the link to the ST article. We can be sued for fringing copyright if we just copy/paste whole-sale without providing a link to the origin.

Moderator

[Jamesbond008]

Oxley asks UE to explain share sale
TUE, JUL 09, 2019 - 5:50 AM

MARISSA LEE   marilee@sph.com.sg 
@MarissaLeeBT
Singapore

THE decision by United Engineers (UE) to sell all of its treasury shares for S$56 million to undisclosed third parties last Friday was a board decision, managing director Roy Tan said on Monday.

Hi JamesBond088,
Thanks for posting this here but please provide the link to the ST article. We can be sued for fringing copyright if we just copy/paste whole-sale without providing a link to the origin.

Moderator

[Jamesbond008]

Hello brothers,

i am drafting a letter to SIAS, asking them to help in this matter. If u are a shareholder of united engineers, you can pm me and i will add your name in.

[karlmarx]

I thought it is quite interesting to see that even big money can be ostracized and treated in a manner that is not too different from regular OPMIs. The food chain of big-fish-eat-small-fish is real and applicable to the business environment.

If you're not welcome, it seems there is just not much you can do about it. Which, in the case of Oxley not being able to get a board seat, it looks quite ridiculous, because they own some 20+% of the company.

The next time you feel 'bullied' by a company's BOD, maybe you can think of Oxley, and not feel so bad about the whole matter.