Soilbuild gets S$418m offer to privatise and delist from SGX

Mainboard-listed property developer Soilbuild Group on Tuesday said it has received an offer from investment firm Dolphin Acquisitions valued at S$418 million to privatise the company and to delist it from the Singapore Exchange.

Dolphin Acquisitions, a company controlled by Soilbuild’s group managing director Lim Chap Huat, has offered to acquire Soilbuild’s shares at 80 cents a piece from its shareholders.

The offer price represents an attractive premium of 13.48 per cent based on its last traded price of 70.5 cents last Friday.

In a joint statement on Tuesday, the companies said “the delisting will allow more flexibility to manage and develop the businesses of Soilbuild and strategic initiatives, pursue business and investment opportunities, optimise the use of resources and facilitate the implementation of any strategic initiatives and/or operational changes.”

In addition, the circular added that the exit offer would allow Soilbuild to dispense with listing related expenses and channel its resources to its business operations.

Mr Lim holds a 52.5 per cent direct stake in Soilbuild.

The company has already received irrevocable undertakings from several shareholders with a combined stake of 73.09 per cent who will vote in favour of the delisting resolution at the upcoming extraordinary general meeting.

Among those that have given their irrevocable undertaking is the company’s non-executive chairman Fong Ying Wah.

Soilbuild’s principal activities are in the development of residential and purpose-built business space properties in Asia.

Source : Channel NewsAsia – 21 Sep 2010

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