KUALA LUMPUR (March 20): JOTECH HOLDINGS BHD [] has received shareholders’ approval for the proposed merger with AIC CORPORATION BHD [] and AutoV Corporation Bhd.
Jotech, which makes precision stamped parts, said on Tuesday the approval was given at the EGM and court convened meetings on Tuesday.
All three companies would be collectively be acquired by a special purpose vehicle -- Temasek Formation Bhd (TFB) – which is owned by executive chairman of Jotech and AIC, Datuk Goh Tian Chuan.
To recap, TFB had received the Securities Commission’s approval in January 2012 for the proposed merger for RM711 million to be satisfied via the issuance of new TFB shares.
TFB would acquire Jotech at 18 sen per share, or 20% above the respective five-day volume weighted average market prices (VWAMP) of Jotech shares up to and including the price at July 26, 02011 of 15 sen.
The offer of 9.0 sen for each Jotech warrant was 17% over the respective five-day VWAMP of Jotech warrants up to and including the price at July 26, 2011 of 7.7 sen.
Jotech said the proposed swap ratio would be on the basis of three new TFB shares for every two existing Jotech shares. As for the warrants holders, the proposed swap ratio will be three new TFB shares for every four existing Jotech warrants.
Commenting on the latest development, Goh said the proposed merger would beef up Jotech both financially and market size to fully implement its business plan strategies.
“The proposed merged entity would be able to complement its counterpart’s strengths to achieve better business synergies going forward and further solidify its leading position in the industry,” he said.
The EGMs for AIC and AutoV would be held on March 21, and March 22.
Jotech, which makes precision stamped parts, said on Tuesday the approval was given at the EGM and court convened meetings on Tuesday.
All three companies would be collectively be acquired by a special purpose vehicle -- Temasek Formation Bhd (TFB) – which is owned by executive chairman of Jotech and AIC, Datuk Goh Tian Chuan.
To recap, TFB had received the Securities Commission’s approval in January 2012 for the proposed merger for RM711 million to be satisfied via the issuance of new TFB shares.
TFB would acquire Jotech at 18 sen per share, or 20% above the respective five-day volume weighted average market prices (VWAMP) of Jotech shares up to and including the price at July 26, 02011 of 15 sen.
The offer of 9.0 sen for each Jotech warrant was 17% over the respective five-day VWAMP of Jotech warrants up to and including the price at July 26, 2011 of 7.7 sen.
Jotech said the proposed swap ratio would be on the basis of three new TFB shares for every two existing Jotech shares. As for the warrants holders, the proposed swap ratio will be three new TFB shares for every four existing Jotech warrants.
Commenting on the latest development, Goh said the proposed merger would beef up Jotech both financially and market size to fully implement its business plan strategies.
“The proposed merged entity would be able to complement its counterpart’s strengths to achieve better business synergies going forward and further solidify its leading position in the industry,” he said.
The EGMs for AIC and AutoV would be held on March 21, and March 22.
