Buyout group holds 80.9% stake in LTC Corporation

MAINBOARD-listed LTC Corporation on Monday night said a buyout group's bid vehicle, Mountbatten Enterprises, and its concert parties owned or have acquired some 126.6 million shares representing 80.9 per cent of the company.

Mountbatten is the bid vehicle of a group of LTC Corp's controlling shareholders from the Cheng family - LTC Corp managing director Cheng Yong Liang and his brothers Cheng Yong Kim, Cheng Yong Kwang and Cheng Yoong Choong - along with Lion Investment (Singapore) and Lion Realty. Lion Investment and Lion Realty are family investment vehicles, majority of which is owned by the Cheng brothers.

LTC Corp engages in property rental and development, as well as steel trading in Singapore and Malaysia.

The closing date for Mountbatten's voluntary cash offer was extended on Monday from March 26 to 5:30pm on April 9.

The S$0.925 per share offer is more than the highest closing price of LTC Corp's shares since January 1998, and also represents a premium of 44.5 per cent over the stock's last close of S$0.64 on Feb 8.

Mountbatten previously said that its proposed takeover is conditional on it receiving acceptances which would result in it or its concert parties holding at least 90 per cent of the issued shares at the close of the offer.

However, Mountbatten had also reserved the right to reduce the 90 per cent acceptance condition to a lower level which is more than 50 per cent of the total number of issued shares.

Shares in LTC Corp last traded 0.5 per cent higher to close at S$0.92 apiece on Monday.