Substantial shareholder of Procurri to vote against Novo Tellus' partial offer

PROCURRI has received a letter dated April 13 from substantial shareholder DeClout indicating that the latter intends to vote against Novo Tellus' partial offer of 36.5 Singapore cents per share, the enterprise hardware supplier said in a bourse filing on Wednesday.

The offer is made by OCBC on behalf of the offeror NTCP SPV VIII, which is an investment vehicle owned by Singapore-based private equity fund Novo Tellus PE Fund 2. The partial offer was launched to acquire an additional 27.91 per cent of Procurri's shares.

If the partial offer had been successful, the offeror would have owned a 51 per cent stake in Procurri. This is a result of share transfers from another Novo Tellus wholly-owned subsidiary and co-investor ACT Holdings, which are part of the deal.

According to Novo Tellus' press statement on March 15, the partial offer will allow the offeror and lead investor Novo Tellus to take a more active role in working with Procurri to create sustainable value in the coming years.

As at April 6, DeClout holds a 20.1 per cent interest in Procurri.

Procurri's trading halt was lifted after the announcement. The mainboard-listed company had called for a trading halt on Wednesday morning.

Procurri shares fell 1.4 per cent or 0.5 Singapore cent on Wednesday to close at 36 cents.