Delistings dash shines light on opportunity to lubricate these deals and exploit loopholes

Investors should observe post-scheme-meeting trading of Sunningdale; GL-Guoco deal juxtaposed with tighter delisting rules

Ben Paul

Published Mon, Feb 22, 2021 · 05:50 AM

Mark to Market

THIS past week, interesting developments unfolded at two locally listed companies in the throes of being taken private, which could shape thinking in the market about these often-contentious deals.

On Friday, Feb 19, shareholders of Sunningdale Tech gave their consent to a scheme that will see the maker of precision plastic components being delisted by April.

With the key uncertainty of this transaction now removed, market attention could turn to the relative merits of investors accepting cash for their Sunningdale shares versus shares in the holding company of the offeror.

Sunningdale's chairman and major shareholder Koh Boon Hwee, alongside…