No increase in S$0.23 offer price for TTJ

THC Venture, which has made a bid to privatise structural steel specialist TTJ Holdings : K1Q 0%, does not intend to raise its offer price of S$0.23 per share, it said in a Wednesday (Jun 29) bourse filing.

The offeror is solely owned by TTJ’s executive chairman Teo Hock Chwee. Its update comes after 4 directors of TTJ recommended that shareholders reject the offer – namely, executive director and chief financial officer Chiong Su Been, lead independent director Lim Yian Poh, and independent directors Ling Chien Yien and Leong Yee Yew, according to TTJ’s website.

The directors said that they concur with the independent financial adviser Zico Capital, which advised shareholders to reject the offer for being “not fair and not reasonable”. The offer price is lower than Zico’s estimated value range of between S$0.37 and S$0.46 per share.

Zico Capital also noted that Teo has been holding about 84.4 per cent of the company’s total share capital since September 2015 – just 6 percentage points away from the 10 per cent free float threshold required by the listing manual.

The offer will close at 5.30 pm on Jul 8. Shares of TTJ closed flat at S$0.245 on Wednesday.