Lee Kim Tah Holdings

[dydx]

Yesterday (22Aug11), the Lee Family added another 52 lots at $0.56/share.....
http://info.sgx.com/webcorannc.nsf/Annou...endocument

[camelking]

think we should join in the buying.. something is definately UP! :O

Well, they have been buying the shares for many years.

Nevertheless, it is good company and the constant buying maintains the share price

[dydx]

Yesterday (23Aug11), the Lee Family added another 63 lots at $0.56/share....
http://info.sgx.com/webcorannc.nsf/Annou...endocument

[dydx]

Yesterday (24Aug11), the Lee Family added another 37 lots at $0.56/share.....
http://info.sgx.com/webcorannc.nsf/Annou...endocument

There was no transaction today (25Aug11), but the "BUY" queue was visibly much longer than the "SELL" queue.

[dydx]

Last Monday (29Aug11), the Lee Family added another 25 lots at $0.56/share.....
http://info.sgx.com/webcorannc.nsf/Annou...endocument

As for today (31Aug11), only 25 lots were transacted, but LKT closed higher at $0.565.

[RBM]

Thanks again for sharing this dydx,

Every morning "someone" puts in a bid for 50,000 shares of LKT, lately at S$ 0.56 per unit. From the information you have shared over the last weeks on this site coupled with records I have kept of recent bids and offers for LKT shares, I'm now 100% certain this 50,000 shares per day bid is on behalf of the Lee's. On those days where these 50 lot bid orders have been filled, they then go in to the market for more.

I am 100% certain that at most the Lee's bought 10,000 shares to day. But I'm 100% certain that the 50,000 share bid (which did not attract a seller) was on behalf of the Lee's.

Bit "cloak and dagger" I realise ............ but together with their India Insurance friends, the Lee's are steadily and inexorably closing in on the 90% shareholding level and, at this rate, without having to pay even a modest premium for delisting.

Vested.

[dydx]

Bit "cloak and dagger" I realise ............ but together with their India Insurance friends, the Lee's are steadily and inexorably closing in on the 90% shareholding level and, at this rate, without having to pay even a modest premium for delisting.

It is India International Insurance Pte Ltd.....
http://www.iii.com.sg/index.cfm?GPID=9
which has held a 3.84% stake in LKT as a long-term investment for many years now. Would III sell its stake to the Lee Family at the going low market price and trigger a GO for the rest of the minority shareholders? I guess this is most unlikely.

Based on what I can gather, the enlarged Lee Family now has close to 80% of LKT. As under the rules they can only increase up to 1% every 6 months, they will have to pay a higher price over time, as fewer minority shareholders are left who would sell their LKT shares cheap. To cross 90%, the Lee Family will have to buy from the larger minority shareholders (including III) and for that they better be prepared to pay a higher price close to the NAV/share, and this will trigger a GO with a better chance for them to cross the critical 90% mark.

The Lee Family has been patient, and I guess other shareholders should be patient too.

[cif5000]

As under the rules they can only increase up to 1% every 6 months

Not true if they have already more than 50% to begin with.

http://www.mas.gov.sg/resource/sic/The_S...l_2007.pdf

[RBM]

Two points ...........

- Looks like the Lee's are back in the market for LKT shares this morning with their usual 50,000 share bid. Only this time they are bidding S$ 0.565 per share, i.e. yesterday's (higher) closing price.
- A trusted lawyer friend, admittedly one who was being plied with beverages at the time, agrees with cif5000's assessment, i.e. in this case LKT can increase their holding % at the unconstrained pace they chose, and keep going until they have reached the "magical" 90% level. There is no statutory or legal constraint impeding the pace at which they can acquire further units.

[freedom]

There is no rush for the Lee to buy in the open market. After all, there is not much difference between 70% or 90%. The Lees have control over the company. If the Lees are smart enough, they can always wait for a lower price to make an offer or accumulate in the open market if there is one. Time is on the Lees' side.