LCT board names independent financial adviser for co-founder's takeover bid

Annabeth Leow

Published Mon, Sep 21, 2020 · 01:03 PM

THE board of mainboard-listed LCT Holdings has named Novus Corporate Finance as the independent financial adviser in a company co-founder's privatisation bid.

The appointment, which was disclosed to shareholders on Monday evening, comes after Du Junhong launched a voluntary conditional cash offer on Sept 16 to buy all the ordinary shares in the property investment company at S$0.60 apiece.

Dr Du has a 19.72 per cent deemed interest in LCT. He has undertaken to accept the offer alongside other co-founders with a combined stake of 27.65 per cent.

Novus Corporate Finance will advise the independent directors on the deal, which values LCT at some S$21 million.

A circular containing its advice and the recommendation of the independent directors will be sent to shareholders within 14 days of the release of the offer document.

The LCT board said in its announcement: "In the meantime, shareholders are advised to exercise caution when dealing with their shares and to refrain from taking any action in respect of their shares which may be prejudicial to their interests."