Cosco's offer price in Cogent buy-out bid 'fair and reasonable': CIMB
COSCO Shipping International's bid to take Cogent Holdings private comes at an offer price that is "fair and reasonable" under prevailing conditions, the independent financial adviser for the deal has said.
CIMB Bank has also advised that the independent directors recommend shareholders accept the offer of S$1.02 a share, or sell their shares in the open market if they can receive a higher price.
Cogent's independent directors agreed with this assessment, according to a circular that the company filed on the Singapore Exchange website on Thursday.
CIMB, which was appointed independent financial adviser to Cogent's independent directors, noted that Cogent's shares have not traded at or above the offer price in the past three years.
It added that "the offer price represents a significant premium of approximately 261.3 per cent over the net asset value per share" of 28.23 Singapore cents as at Sept 30.
Cogent closed flat at S$1.01 on Thursday, before the announcement. Meanwhile, Cosco was down 2.5 Singapore cents, or 5.16 per cent, to S$0.46, on a turnover of 18 million shares.
KEYWORDS IN THIS ARTICLE
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Companies & Markets
Higher gross rental income, lower expenses boost CICT’s Q1 NPI by 6.3% to S$293.7 million
Stocks to watch: CICT, Seatrium, Keppel DC Reit, UOB
Keppel DC Reit reports 13.7% lower Q1 DPU of S$0.02192
Netflix handily beats subscriber targets, misses on revenue forecast
Meta releases early versions of its Llama 3 AI model
Seatrium unit ordered to pay US$108 million in arbitration over equipment supply contracts