City Developments to compulsorily acquire remaining M&C shares

MAINBOARD-LISTED property developer City Developments Limited (CDL) on Friday announced that it will compulsorily acquire the remaining shares for its London-listed subsidiary Millennium & Copthorne (M&C) held by shareholders who have not yet accepted the final offer of 685 pence per share.

The final offer will remain open for acceptance until further notice.

As at 1pm London time on Sept 27, valid acceptances amounting to a total of 112 million M&C shares, representing approximately 99.21 per cent of M&C's issued ordinary share capital not already owned by CDL as at June 7, have been received.

As valid acceptances of over 90 per cent have been received, CDL intends to exercise its rights to compulsorily acquire the remaining M&C shares held by shareholders who have not yet accepted the final offer.

The cancellation of listing and trading of M&C shares is expected to take effect at 8am London time on Oct 11.

After the delisting, M&C will be re-registered as a private company. 

On June 7, CDL had revived its takeover bid with a higher cash offer of 685 pence per share for the remaining 34.8 per cent stake in M&C, valuing the hotel chain at £2.23 billion (S$3.78 billion). The previous 620-pence bid in December 2017 was blocked by M&C's minority shareholders and lapsed in January 2018.