Voluntary conditional cash offer for Sysma to close on Jul 20

THE voluntary conditional cash offer of S$0.168 per share from Sysma Holdings’ : 5UO 0% controlling shareholders will close on Jul 20.

The offer, conditional on the offeror GTV Capital having garnered at least 90 per cent of Sysma’s total shares, is aimed at privatising the Catalist-listed builder of high-end landed homes, regulatory filings to the bourse on Thursday (Jun 22) showed.

The offeror will compulsorily acquire the shares of those who do not accept the offer if it manages to snag no fewer than 90 per cent of shares. Following this, the builder listed in 2012 will exit the Catalist board.

Sin Soon Teng, Sysma’s chairman and group chief executive officer (CEO), is the sole shareholder of the offeror, and a controlling shareholder of Sysma. He has a deemed interest of 66.02 per cent through his personal investment vehicle, Xiang Investment.

Sin Ee Wuen, currently director and deputy CEO of Sysma, holds a 3.45 per cent stake in the builder.

Xiang Investment and Sin Ee Wuen have given irrevocable undertakings to accept the privatisation offer; they will be issued new ordinary shares in GTV Capital to set off in full against what would otherwise be payable to them for accepting the offer.

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The offer will furnish Sysma with the necessary flexibility to optimise its resources to protect the long-term competitiveness of the business amid a “challenging” environment brought on by a manpower shortage and escalating costs of workers’ accommodation and construction materials, said GTV Capital in the offer announcement dated Jun 1.

The S$0.168 offer, GTV Capital said, is a premium of 34.4 per cent over the closing price of S$0.125 on May 25, the last full market day when the shares were traded before the offer was announced.

Sysma shares were flat at S$0.168 at market close on Thursday.