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UE suspends shares on close of Yanlord offer

THE offer period for United Engineers (UE) shareholders to accept Yanlord Land Group's S$2.70-a-share mandatory conditional cash offer has closed at 5.30pm on Monday, Yanlord said in a bourse filing on Monday evening.

Following the close of the offer, UE suspended trading of its shares on Tuesday morning before the market opened. Its shares had closed down S$0.03 or 1.1 per cent to S$2.68 on Monday. 

The Chinese developer's offer received valid acceptances for about 278.6 million ordinary shares or 43.7 per cent of total UE ordinary shares, and 12,642 preference shares or 1.44 per cent of total UE preference shares.

As at the close of the offer, Yanlord and parties acting in concert with it owned, controlled or agreed to acquire 95.91 per cent of UE ordinary shares and 99.16 per cent of its preference shares.

When the offer was first announced on Oct 25, 2019, Yanlord and parties acting in concert with it had owned, controlled or agreed to acquire 35.27 per cent of total UE ordinary shares and 97.71 per cent of UE preference shares.

Mainboard-listed Yanlord will now compulsorily acquire all the shares of UE ordinary shareholders that have not accepted its offer. 

Preference shareholders who have not accepted the offer have the right to require Yanlord to buy their shares at the S$2.70 per share offer price.

UE had lost its free float in late December after it was announced that less than 10 per cent of UE shares were held by the public.

Shares of Yanlord closed up S$0.01 or 0.8 per cent at S$1.27 on Monday.