Haiyi makes offer for Singxpress Land

Investment company Haiyi Holdings on Tuesday said it would be making a mandatory unconditional cash offer for all of the shares in property developer Singxpress Land after a conversion of its perpetual preference shares into ordinary equity would result in its owning 62.2 per cent of the target company.

But the offer by Haiyi of S$0.0118 cent per share offer is 21.3 per cent below the last transacted price of S$0.015. Singxpress Land is a small cap company, with a market value of just over S$50 million at the last closing price.

Haiyi said it intended to maintain the listing status of Singxpress Land and would not exercise its rights to compulsory acquisition even if the acceptances resulted in its reaching 90 per cent ownership.

Haiyi said investing in Singxpress Land would be in line with its strategic plans to participate in the Singapore real estate market. Haiyi added that Singxpress Land’s management had been working hard to raise additional capital to fund its operations and that its investment would allow Singxpress Land to develop larger real estate projects than it is capable of handling now.

Source : Today – 27 Nov 2012

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