Thursday 28 Mar 2024
By
main news image

KUALA LUMPUR (Sept 17): Sri Lankan conglomerate Softlogic Holdings PLC and its unit Softlogic Retail (Private) Ltd have launched a takeover offer for the country’s department store operator Odel PLC, in which Parkson Retail Asia Ltd (PRA) owns 129.15 million shares or a 47.46% stake.

PRA, which is listed on the Singapore Exchange, is 67.6% owned by Parkson Holdings Bhd.

In a filing with Bursa Malaysia today, Parkson Holdings said the Sri Lankan conglomerate has made the offer for Oldel on Monday (Sept 15).

The mandatory offer is made, following the recent acquisition by Softlogic Holdings and Softlogic Retail of 122.89 million shares or approximately a 45.16% stake in Odel, at prices between Rs 21.80 (53 sen) and Rs 22 (54 sen) per Odel share.

"This has trigering the company take-over and mergers code 1995, published under the rules made by the Securities and Exchange Commission of Sri Lanka Act," said Parkson Holdings.

"Under the rule 31(1)(b) of the code, the joint offerors are to make the mandatory offer to purchase the remaining 149.24 million shares, aggregating 54.84% of the shares issued not already owned by them, at a price of Rs22 per share," the filing read, adding that this being the highest price paid by the joint offerors during the period of past one year.

At Rs22 (54 sen) per share, PRA’s 47.46% stake in Odel is worth close to RM70 million.

"A detailed mandatory offer document will be sent to all shareholders of Odel, within 35 days of incurring the obligation, to make the mandatory offer (on or before Oct 16, 2014)," said Parkson Holdings.

Parkson Holdings was down 3 sen to close at RM3.02, with 2.55 million units traded.

 

      Print
      Text Size
      Share