Sunningdale latest to face activist investor Quarz
Securing improved terms for minorities would be better outcome than voting down the whole deal
Add BT as a preferred source
QUARZ Capital Management is at it again. Barely six weeks after winning a bruising battle to prevent Sabana Reit from merging with ESR-Reit on value-destructive terms, the activist investor has turned its sights on Sunningdale Tech - a precision plastic components maker in the throes of a private equity buyout.
Under the deal, which was announced on Nov 9, Sunningdale's chairman and major shareholder Koh Boon Hwee has teamed up with a unit of Novo Tellus PE Fund 2 to offer minority shareholders S$1.55 per Sunningdale share.
In an open letter to Sunningdale's board, Quarz grumbled that the deal is opportunistically timed - coming right after an extended period of heavy capital expenditure by Sunningdale that weighed on its profitability.
TRENDING NOW
CSE Global independent director quits after clashes with chairman Eugene Lai over board refresh
‘I felt like dying’: Thai Singha beer scion speaks up after disclosure of alleged sexual abuse
Cat A COE rate exceeds Cat B for third time in 4 months; premiums largely down
What’s wrong with Orchard Road? Experts weigh in on the street’s cachet and its future
