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Buyout offer for Cityneon crosses threshold for compulsory acquisition of all shares
WEST Knighton Limited, the special purpose vehicle indirectly owned by Cityneon group chief executive Ron Tan and Hong Kong entrepreneur and investor Johnson Ko Chun Shun, holds a 97.7 per cent stake in Cityneon, giving the vehicle enough control of the company to compulsorily acquire the rest of the shares and delist Cityneon.
On Oct 29, Mr Tan, together with Mr Ko, launched a mandatory unconditional cash offer for the rest of Cityneon’s shares with the purpose of delisting and taking Cityneon private. This was triggered after its acquisition of an approximately 68.95 per cent stake in Cityneon Holdings from Lucrum 1 Investment, at S$1.30 per share for S$219.3 million through special purpose vehicle West Knighton.
It was stated in the Loss of Public Float Announcement that in view of the offeror’s shareholding at the date of the offer, the compulsory acquisition threshold under Section 215(1) of the Companies Act for the offer is 96.90 per cent of the total number of issued shares.
Cityneon creates licensed interactive exhibitions based on blockbuster entertainment franchises such as Marvel's Avengers superheroes, Jurassic Park and the Transformers.