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Changtian Plastic's founders launch S$17m takeover bid at S$1.30 apiece
MAINBOARD-LISTED Changtian Plastic & Chemical Limited has received a takeover offer worth S$17.2 million from its two founders and major shareholders through United Tech Industries Ltd at S$1.30 per share cash.
In an announcement to the Singapore Exchange, on behalf of the offeror, RHT Capital said that United Tech Industries does not intend to revise the offer price but reserves the right to do so in a "competitive situation".
The offer will be unconditional in all respects, it said.
United Tech Industries is an investment holding company incorporated in the British Virgin Islands in February this year for the purpose of the offer.
The sole director of United Tech Industries is Yang Qingjin who is also a shareholder apart from Chen Yongfu. Mr Yang is chairman of Changtian Plastic while Mr Chen, his brother-in-law, is deputy chairman.
While the offeror does not hold any shares in the plastic maker, parties acting in concert with it own in aggregate 79.93 per cent and have provided irrevocable undertakings to support the takeover bid, said the offer announcement.
Trading in the counter was halted pending the announcement on Monday and was last traded at 89.5 Singapore cents.