Hong Leong Asia Ltd. made an unconditional voluntary take-over offer to acquire an additional 19.2% stake in Tasek Corporation Berhad for approximately MYR 130 million.
The offer is not conditional upon the receipt of any minimum level of valid acceptances of the offer shares. The offer document will be dispatched within 21 days from the date of the notice or any extended period of time as may be directed or permitted by Securities Commission Malaysia (SC). Hong Leong Asia may only withdraw the offer with the prior approval of SC. The offer will remain open for acceptances until 21st day after the posting date or such later date as Hong Leong Asia may decide. If the offer is revised after the posting date, it will remain open for acceptances for at least 14 days from the date of the posting of the written notification of the revision to the holders. On June 27, 2019, Securities Commission Malaysia has notified that it has no further comments on this independent advice circular. Mercury Securities Sdn. Bhd recommended that the offer in respect of the ordinary shares is fair and reasonable and although the offer in respect of the preference shares is not fair but it is reasonable. Accordingly, Mercury Securities recommended accepting the offer in respect of both the offer ordinary shares and the offer preference shares and accordingly, the Board of Tasek Corporation recommended the shareholders to accept the offer in respect of both the offer ordinary shares and the offer preference shares. As of August 2, 2019, the Board of Hong Leong Asia approved the issuance of the notice of revised offer. As per the offer document dated June 18, 2019, the closing date for the offer shall be July 9, 2019. As of July 5, 2019, the closing date for the offer has been extended to July 22, 2019. As of July 19, 2019, the closing date for the offer has been extended to August 5, 2019. As of August 2, 2019, the transaction is expected to be completed on August 19, 2019. The transaction is not expected to have a material impact on the net tangible assets per share or earnings per share of Hong Leong Asia for the current financial year.
Rajah & Tann acted as the legal advisor to Hong Leong Asia Ltd. Andrew Tan, Debbie Leong, Lim Yang Hoon, Audrey Wong and Jonathan Lee of CIMB Investment Bank Berhad acted as financial advisors to Hong Leong Asia Ltd. As of May 31, 2019, Mercury Securities Sdn. Bhd. was appointed as financial advisor for Tasek Corporation. Tricor Investor & Issuing House Services Sdn Bhd acted as registrar for Tasek Corporation and Hong Leong Asia. Knight Frank Malaysia Sdn Bhd and Rahim & Co International Sdn Bhd acted as valuers in the offer.