Low Keng Huat shares jump 5.4% on increased privatisation offer price

[SINGAPORE] Shares of mainboard-listed construction and property developer Low Keng Huat (LKH) jumped as much as 5.4 per cent after offeror Consistent Record raised its offer price from S$0.72 a share to S$0.78.

The counter climbed S$0.035 to S$0.775 as at the mid-day trading break on Wednesday (Jan 14), after ending Tuesday 1.4 per cent up at S$0.735.

Consistent Record, a special purpose vehicle effectively controlled by managing director Marco Low and his family, added that the price was final, with no further revisions expected. Low - who plans to delist LKH - currently has a direct and deemed interest of 54 per cent in the company.

The closing date for the offer has also been extended to 5.30 pm on Feb 13.

The new offer price is higher than the closing prices of Low Keng Huat shares across the past five years, noted Consistent Record.

As at 6 pm on Jan 13, the offer had received valid acceptances from concert parties representing 21.8 per cent of shares, and from other shareholders representing 5.6 per cent of shares.

SEE ALSO

Low Keng Huat controlling shareholders up offer price to S$0.78 per share, extend closing date

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Low said that he intended to delist the company to save on compliance costs and gain greater flexibility to manage the business amid a “challenging macro and operating environment”.