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Chew's Group mandatory offer terms are fair and reasonable, says independent financial adviser
THE terms of the offer for Catalist-listed Chew's Group are fair and reasonable, the independent financial adviser (IFA) has said, in a statement sent out to shareholders in a circular on Monday.
The independent directors have agreed with the advice of Novus Corporate Finance, the IFA in the deal, and recommend that shareholders accept the offer of S$0.2107 in cash for each share.
"However, in the event that shareholders are able to dispose of the offer shares in the open market and realise their investments at prices higher than the offer price after deducting related expenses, they should consider selling the offer shares in the open market," the independent directors added.
The offer exercise by Goldhill Trust, which closes on Nov 20, values the egg producer at S$17.8 million.
Businessmen Alex Tan Pei Hong and Amos Tan Theng Hong triggered a mandatory offer for Chew's Group when they bought a controlling 68.14 per cent stake from members of the Chew family through Goldhill Trust.
But the offeror has said that it intends to keep the group listed.
Chew's Group last closed flat at S$0.21 on Monday.