KUALA LUMPUR: OSK Research said UEM and Employees Provident Fund's offer to acquire the business of PLUS for RM23 billion or RM4.60 a share is on the low side.

It said on Monday, Oct 18 the offer price was only a small 3% premium to its last traded price. Further, the offer is 5% lower than the research house's Free Cash Flow to Equity based target price.

"Amongst the minorities, KWAP which holds a 5.5% stake, could be aligned to the acquirers. We advise investors to reject the offer and feel that the RM4.80-5.00 range to be a fairer level," it said.