Pursuant to various discussions with EON Capital Bhd, Hong Leong Bank Bhd (HLBB) said it had clarified and modified certain terms of its offer with regard to the proposed acquisition of the entire assets and liabilities of EONCap.

Among others, HLBB said it reserved the right to withdraw the offer if all approvals from Bank Negara Malaysia, the Minister of Finance, the shareholders of EONCap and HLBB and the Securities Commission were not obtained by August 15.

In terms of the timeline of the offer, the bank said in a filing to Bursa Malaysia today, that EONCap shall accept the offer no later than one business day, after the last of the approvals is obtained.

HLBB shall pay a deposit of RM25 million to its solicitors within two business days of receipt of the acceptance of the offer by EONCap while the completion date for the transfer of the assets and liabilities of EONCap shall be within 30 days after receipt by HLBB of the acceptance of the offer.

In terms of payments, it said there should be no reduction in compensation and benefits of the employees of EON Bank and its subsidiaries, from the date it becomes a subsidiary of HLBB for a period of one year from the completion date.

HLBB also agreed to EONCap's request to continue with the occupation of its current office premises on the 12th Floor of Menara EON Bank without any rental charges, for a period of up to 12 months from the date of EONCap's acceptance of the offer. -- Bernama