Offer price for Jardine Strategic at significant discount to NAV

ANALYSTS have noted that the offer price of US$33 for Jardine Strategic Holdings is at a significant discount to its net asset value for a done deal, through which the Jardine empire will untangle its decades-old cross-holding through Jardine Matheson Holdings buying out the remaining stake in Jardine Strategic.

Analyst Brian Freitas, who publishes on Smartkarma, said that the offer price represents a 30 per cent discount to Jardine Strategic's estimated net asset value of US$46.67 a share, even though it is a 20.2 per cent premium to the close of US$27.45 last Friday

He noted Jardine Strategic was trading near the lower end of its range over the last six years.