KUALA LUMPUR (Aug 25): Jardine Cycle & Carriage Ltd has accumulated 95.49 million shares or a 94.78% stake in Cycle & Carriage Bintang Bhd after its RM2.70 takeover offer ended on Thursday (Aug 25), paving the way for the delisting of one of Malaysia’s leading Mercedes Benz dealers.
Shares of Cycle & Carriage Bintang will be suspended from trading after five market days from the closing of this offer, and the company will subsequently take steps to withdraw its listing status from the stock exchange.
When the offer was made on July 14, Jardine already owned 90.66 million shares or an 89.994% stake in Cycle & Carriage Bintang, which was listed on the Kuala Lumpur Stock Exchange back in 1977.
This was Jardine’s third attempt to take Cycle & Carriage Bintang private. Its offer price was higher than the initial offer of RM2.20 per share, followed by another at RM2.40.
Jardine was unsuccessful with its takeover bid last year, as it only managed to increase its stake from 66.47% to 88.04%, despite extending the offer period three times.
Earlier this month, independent adviser Kenanga Investment Bank Bhd said Jardine’s offer was “not fair but reasonable” after taking into account that the offeror does not intend to maintain Cycle & Carriage Bintang’s listing status, and advised non-interested directors to recommend for holders to accept the offer.
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