Boustead Projects

[ghchua]

If the privatization is successful and completed, how is MR Wong and the concert parties holdings being account in BSL?

If you ask me accounting wise, there is no change in treatment. Boustead Projects had been a subsidiary of BSL. It is just that they will have more stake in Boustead Projects after the offer is successfully closed.

Therefore, Boustead Projects accounts should continue to be consolidated under BSL. Those shares in Boustead Projects that were not held by BSL will continue to be booked as Non-controlling interests.

[EnSabahNur]

Hello everyone

You should have received your offer documents.

https://www.bousteadprojects.com/wp-cont...cument.pdf

ACCEPTANCES SHOULD BE RECEIVED BY THE CLOSE OF THE OFFER AT 5.30 P.M. (SINGAPORE
TIME) ON 27 MARCH 2023 (THE "CLOSING DATE"). THERE WILL BE NO EXTENSION OF THE
CLOSING DATE BEYOND 27 MARCH 2023.

[¯|_(ツ)_/¯]

Thank you everyone.
It's good that Boustead revised the offer to 95 cents.

From my trading record, I vested in early 2018 at about 80 cents and I'm still thinking whether I should tender or not.

FYI - this particular counter was identified and brought based on our valuebuddies MZ.

I had studied his portfolio and a lot of them is in my watchlist except Straco and BP which I vested.




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Straco was sold at a loss at 56.5 sometime Feb 2020 as it had hit my cut-loss point.  Just one sell and everything out at 56.5. 

I absolutely enjoyed this investment journey.

In fact, I even went to Shanghai and visited SOA aquarium back in 2017 too. 

Very enjoyable trip (investment journey) despite poor results. 

Gratitude!

[EnSabahNur]

From my trading record, I vested in early 2018 at about 80 cents and I'm still thinking whether I should tender or not.

I'm just curious, what are your alternative options, if you choose not to tender?

[¯|_(ツ)_/¯]

mmm.... not sure you're asking in general or specific to BP.

Well, I think valuebuddies gh (with 29 unlisted counters) would be a better person to ask.  

I did had some unlisted counters (none of them tally with gh's  ), and they are doing rather ok. 

For example, Aztech.... 

Gratitude!

[EnSabahNur]

mmm.... not sure you're asking in general or specific to BP.

I didn't know you have other unlisted counters. Why do you choose to hold on to them?

I was expecting the ability to sell the company shares on a liquid market and the protections offered by an exchange listing to be quite important, so it is better to accept the offer, than hold on to a private company.

[¯|_(ツ)_/¯]

Yes, I think most people will sell aka otherwise they might not be able to sell.

However, after holding on to 2 unlisted counters, I think otherwise.

To sell the shares for my 2 unlisted counters were rather easy... just sell back to them at the final offer price.

Both counters actually continue to give out dividends and one of them (AZTECH) was re-listed again.

I am not sure what's the criteria to kept an unlisted stocks. For BP, I'm still thinking...

Gratitude!

[ghchua]

Dear all,

The IFA opinion for this offer is out.

In conclusion, we are of the opinion that the financial terms of the Offer are not
fair but reasonable. Based on our opinion, we advise the Independent Directors
to recommend that shareholders accept the Offer, unless shareholders are able
to obtain a price higher than the Final Offer Price on the open market, taking into
account all transaction costs in connection with open market transactions.

Since the offer is deemed not fair, there is no way that Boustead Projects can be delisted even if all the minority shareholders accepted the offer. 

Looks like it is going to be suspended instead if it reaches 90%.

[dreamybear]

"BOUSTEAD Projects will be required to restore its free float should its parent company’s privatisation offer fall through, according to Singapore Exchange (SGX) listing rules and regulations...."

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Companies must restore free float if delisting conditions not met; Boustead Projects no exception
https://www.businesstimes.com.sg/compani...t-boustead

[setan]

"BOUSTEAD Projects will be required to restore its free float should its parent company’s privatisation offer fall through, according to Singapore Exchange (SGX) listing rules and regulations...."

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Companies must restore free float if delisting conditions not met; Boustead Projects no exception
https://www.businesstimes.com.sg/compani...t-boustead

With the current scenario, Boustead Singapore could not delist the Boustead Project even all MIs accepted the offer. If the free float falls below 10%, the company will be suspended till the free float is restored.

The offer (offer document stated) had stated that it will take the effort to restore the free float and offer price is final (that mean it cannot or will not increase).

If I did not accept this offer, I have the below queries in my mind.

Can the company be suspended forever? Does it need to pay listing fee if it is suspended?

What kind of corporate actions the offeror can take?

Will the offeror let the offer lapse? 

Then come out another offer at a higher price to make it fair and reasonable to delist it.

I would love any experienced VBs to share your valued knowledge on this matter. Thank in advance.