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Dissident minority investor calls on OCBC to unlock value by distributing Great Eastern stake

The bank says Great Eastern remains integral to its strategy, but a distribution of the insurance unit’s shares may be the most sensible way to resolve its trading suspension

Ben Paul
Published Mon, Dec 9, 2024 · 05:00 AM
    • OCBC's offer for Great Eastern earlier this year did not satisfy the two key conditions for a delisting, but left the insurance unit in breach of the minimum free float requirement.
    • OCBC's offer for Great Eastern earlier this year did not satisfy the two key conditions for a delisting, but left the insurance unit in breach of the minimum free float requirement. PHOTO: ST

    FORMER remisier Ong Chin Woo, who fought to unlock value for minority shareholders of Great Eastern earlier this year, has begun the next stage of his campaign.

    In a letter dated Nov 15, Ong asked the board of OCBC to consider distributing all the Great Eastern shares the banking group holds.

    By his reckoning, OCBC shareholders could receive approximately 98 Great Eastern shares for every 1,000 OCBC shares they own. Based on Great Eastern’s last traded price, this proposed distribution would be worth just over S$2.50 per OCBC share.

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