KUALA LUMPUR (April 18): Lembaga Tabung Angkatan Tentera (LTAT) is nearing the completion of its privatisation of Boustead Holdings Bhd following its purchase of over 75% of Boustead shares on the open market and an independent adviser's recommendation for minority shareholders to accept the offer.
In a statement to Bursa Malaysia on Monday (April 17), Boustead said that based on the record of depositors as at April 13, the shareholding of LTAT in Boustead stood at 75.05% of the total issued shares.
It said that as a result, the public shareholding spread of Boustead as at April 13 is 24.77%, computed based on the information on equity structure prescribed in Appendix 8E of the Listing Requirements.
“Accordingly, Boustead does not comply with the minimum public shareholding spread requirement of 25% pursuant to Paragraph 8.02(1) of the Listing Requirements which stipulates that a listed issuer must ensure that at least 25% of its total listed shares (excluding treasury shares) are in the hands of public shareholders,” it said.
The conglomerate said the shortfall in the public shareholding spread was a direct consequence of the acquisition of ordinary shares of Boustead by LTAT from the open market since March 3 and valid acceptances received in relation to the takeover offer.
It said the shortfall may increase further in the event LTAT continues to acquire Boustead shares from the open market and additional valid acceptances to be received in relation to the offer until the offer is closed for acceptances on May 22, 2023.
Meanwhile, separately, Kenanga Investment Bank Bhd said the conditional voluntary takeover offer by LTAT to acquire the remaining shares in Boustead at 85.5 sen per share is "not fair but reasonable”.
In an independent advice circular recommending Boustead shareholders to accept the offer, Kenanga said the offer price represents a premium ranging from 22.39% to 38.19% over the closing price of Boustead shares in the last one year.
It also represents a premium of between 15.64 sen (22.39%) and 23.63 sen (38.19%) over the five-day, one-month, three-month, six-month and one-year volume-weighted average price of Boustead shares up to the last trading day of between 61.87 sen and 69.86 sen, Kenanga said in the circular.