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IHC requests to suspend redemption of multicurrency medium term note programme
INTERNATIONAL Healthway Corporation on Monday morning filed a suspension request with the local bourse, saying that there are potential concerns arising from the redemption in relation to its multicurrency medium term note programme.
This comes after IHC on Saturday said that noteholders of the programme are entitled to redeem their bonds due to a change in the ownership of the company.
The firm had said that it is of the view that a change in shareholding event under the bond covenant has occurred.
Under the bond covenant, a change of shareholding event is deemed to have taken place when the total shareholding of co-founders Fan Kow Hin, Jong Hee Sen, Aathar Ah Kong Andrew and their immediate family members has fallen below 30 per cent.
Mr Fan had notified the firm that his interest in the company had fallen from 13.4 per cent to 4.67 per cent on Feb 17.
On Friday, OUE, through its vehicle Treasure International Holdings, had launched a takeover bid for the company, after acquiring 35.77 per cent of IHC from four sellers: Ching Chiat Kwong, Eric Low, Mr Low's sister Audrey Low and another shareholder called Tee Wee Sian. Mr Ching and Mr Low run boutique property developer Oxley Holdings; the duo and Mr Tee are substantial shareholders of Oxley.
This brings OUE's stake to 57.6 per cent.