As at 3rd April , LTAT owns 74.3% only . The chance to secure at least 90% control looks very challenging. There is still about 540 mil shares in minority hands . Assuming LTAT has to revise the offer to $1.00 that will cost LTAT another $78 mil only . You think LTAT will give up the privatization because of additional $78 mil ? Minorities who have sold in open market will not be entitled to any price revision.
Most minority shareholders who were willing to accept the offer would have sold in open market at the same price instead of holding out . I guess the remaining are not easily giving in without a ‘fight’. Just my view
After settling Boustead (hopefully at higher price), direct my fund to Bplant. I think quicker asset monetisation activities will happen in Bplant satisfying LTAT’s objective of realizing higher shareholder’s value and generating cash which are needed for paring high debts in LTAT and Boustead holdings. LTAT will effectively control 68% Bplant after Bstead privatization ( 10.6% LTAT + 57.4% thru boustead holdings). Generous dividend payout from Bplant is expect to ease LTAT and boustead debts burden. Just my view
Hi Johnzhang, I intend to wait till the last moment before making any accepting offer at 85.5. Do you mind sharing with me where is the link that would show me the latest shareholding % by ltat so I can know my position better? Tqvm
As at 11 April, LTAT only secures about 75% from open market purchases and from the acceptance . Judging from today’s price movement and the very low sell orders above 85.5 sen, LTAT shall face uphill task to get 90% by the closing date . LTAT better listen to all the remaining minority, especially the corporate shareholders to close the price expectation gap. Book value of boustead is about $1.60. Realizable value of all the assets is much higher than $1.60. It is palatable for LTAT to even consider $1.20 as their gain will eventually be very huge and it doesn’t cost LTAT a bomb to up the offer for the remaining 25%.
Fairness of the Offer We are of the view that the Offer is NOT FAIR as the Offer Price of RM0.855 represents a discount of RM0.708 and RM0.896 or approximately 45.30% to 51.17% over the estimated value per BHB Share ranging between RM1.563 and RM1.751 derived using the SOPV methodology.
Look out for the announcement that the takeover offer being declared unconditional. After the offer being declared unconditional, we still have at least 14 days to accept the takeover offer . Do you own analysis and make your own decision.
There are 2 very important dates we have to keep in mind, i.e. (i) 12 June 2023 the date on which the Offeror must fulfil the BNM Conditions, otherwise the Offer will lapse and (ii) 26 June 2023 on which the Offer will remain open if the BNM Conditions are fulfilled after the First Closing Date 22 May 2023. Of course there is a real risk that if the Offer will lapse then the market price of 85.5 sen per share cannot be sustained.
I am not going to sell, LTAT need Boustead to pay dividend then LTAT can pay their members every year. So i will maintain as Boustead shareholder as LTAT to receive dividend every year. Other company may have risk, but Boustead is bonded to pay dividend to LTAT
SUSPENSION OF TRADING BOUSTEAD HOLDINGS BERHAD Kindly be advised that trading in the securities relating to Boustead Holdings Berhad will be suspended with effect from 9.00 a.m., Tuesday, 20 June 2023, pursuant to Paragraph 16.02(3) of the Main Market Listing Requirements
The offer price 0.855 was 33% below NTA of 1.28. Initially they called a few times asking if I wanted to sell which I said “No not selling”. Yes it was snatched away and they just deposited the amount into my bank account yesterday. When I first saw the amount in the bank account I was surprised and when I login to check it was humorously stated as “Dividend payment Boustead Holdings”.
2 months ago
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