Date: July 28, 2022
SIAS notes that there are no potential competing Offers made to Hwa Hong by 25 July 2022, the deadline set by the Securities Industry Council. On 26 July 2022, Hwa Hong made an announcement to inform Shareholders that the Current Ong Directors have consulted with their advisers and that they and their immediate family, intend to accept the Offer. With this move, Sanjuro United Offer has turned unconditional. This means that shareholders who have tendered their shares will be paid by the Sanjuro United and can realise their investments in the company.
Shareholders who have not decided on this Offer will need to note that if Sanjuro United does not reach 90% for compulsory acquisition, Hwa Hong will continue to remain as a listed company. The remaining minority shareholders will remain invested in Hwa Hong and have to bear a share of the operational and consultancy costs incurred by Hwa Hong.
SIAS refers to the Offer made by Sanjuro United to Hwa Hong and in the Offer circular, the Independent Financial Adviser (IFA) indicated that the offer of $0.40 is fair and reasonable. Shareholders should also note that this is about a discount of 21% to the revalued net asset value of $0.5052 of Hwa Hong as at 31 December 2021, evaluated by independent valuers.
The Sanjuro United Offer of $0.40 in cash Offer per share will close on 1st August 2022 at 5.30pm (Singapore time) and SIAS understands that there will be no extension.
Shareholders should consult your adviser(s) or evaluate your investment position and make an informed decision before the final closing deadline.
Founder, President & CEO