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OCBC, GEH extend WBL disposal deadline in light of United Engineers' bid

OCBC Bank, Great Eastern Holdings (GEH) and a joint venture between Yanlord Land and Perennial Real Estate Holdings have agreed to amend an earlier sale and purchase agreement regarding WBL shares in light of United Engineers' (UE) offer for WBL.

Yanlord Perennial Investment (YPI), the Yanlord-Perennial joint venture, is seeking to take WBL private through UE, which it took over in September.

YPI had earlier undertaken to acquire an additional 19.9 per cent stake in WBL from OCBC, GEH and other vendors three months and one business day after YPI's bid for UE closed in September 2017.

That reference date will now mean the earlier of three business days after the date on which the UE's offer for WBL is withdrawn or lapses for any reason; and March 28, 2018, or any other date that may be agreed on between both sides as long as it is not later than May 18, 2018.

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UE, which owns 67.59 per cent of WBL, had last week made a pre-conditional voluntary unconditional cash offer for all the shares of WBL it does not already own for S$2.07 each.

YPI owns 10 per cent of WBL. If it exercises its undertaking to acquire the additional 19.9 per cent through the OCBC-GEH agreement, it will own 92.25 per cent of WBL shares not owned by UE.

YPI has agreed to tender its WBL shares, including the additional 19.9 per cent stake that it plans to acquire, in acceptance of UE's offer. With that undertaking, UE has stated that it intends to exercise its right to compulsorily acquire the rest of WBL following the completion of its takeover, and make WBL a wholly owned subsidiary.