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Irrevocable undertakings for M&C shares CDL does not own dip to 43.48%

MAINBOARD-LISTED City Developments (CDL) has secured irrevocable undertakings to accept its takeover offer for Millennium & Copthorne Hotels (M&C) for 43.48 per cent of M&C shares it does not already own, down from the 43.58 per cent figure disclosed on June 7, the company announced in a bourse filing on Thursday.

The slight decrease arose because minority shareholder IVA disposed 117,437 M&C shares that were subject to the irrevocable undertaking on June 19. IVA is no longer able to accept or procure the acceptance of CDL's offer in relation to those shares.

Prior to the disposal, IVA held 21.2 million M&C shares subject for which it had given the irrevocable undertaking, representing 6.52 per cent of M&C's issued ordinary share capital.

On June 7, CDL had launched a second takeover bid for M&C, its London-listed subsidiary, with a higher cash offer of 685 pence per share, up from the previous 620 pence bid in December 2017 that was subsequently blocked by M&C's minority shareholders. The offer values M&C at £2.23 billion (S$3.86 billion).

Shares of CDL closed on Thursday at S$9.47, down six cents.