KUALA LUMPUR (March 13): West River Capital Sdn Bhd (WRC) has rejected TSM GLOBAL BHD []’s request for better offer terms including the price and this has seen the latter resolving to consider other offers.
TSM said on Tuesday that WRC’s offer price would remain at RM1.25 per share. However, WRC had agreed to extend the acceptance deadline for the offer from Tuesday to April 6.
“The board has also resolved to consider any other credible offers for the business and undertaking, including all assets and liabilities of TSM received by 5pm on Monday, April 2, 2012,” it said.
To recap, several parties owning a 28.07% stake in TSM Global had on Feb 28, offered to acquire all the business, including assets and liabilities, for RM159.24 million or RM1.25 per share.
WRC is a special purpose vehicle in which TSM directors Datuk Lim Kheng Yew and Lim Tze Thean own 60:40 of West River.
The RM159.24 million would be RM1.25 cash per TSM share held by the remaining entitled shareholders and a deferred amount of RM1.25 per TSM share for all the shares held by identified parties as an amount remaining due and owing by the offeror.
TSM had then said the cash portion would amount to RM114.54 million and the deferred amount was RM44.70 million.
In the latest development, TSM said on Tuesday that all offers must contain the structure of the offer including period of offer; purchase consideration and method of settlement; intention of the offeror with regards to the existing employees of TSM group of companies.
TSM said background information of the offeror would have to be provided, including details of all directors and shareholders of the offeror; parties acting in concert and/or connected with the offeror; background information of the transferee of the TSM business if it is not to the offeror (including ultimate shareholder of the transferee);
It also said the offeror would have to provide a plan of the TSM business for the next 12 months after completion of the proposed acquisition of its business.
TSM also stated that an offeror (including WRC) interested in submitting an offer on or before the offer deadline had to provide an earnest deposit of RM500,000 which would only be refunded if the board/shareholders of TSM reject the offer.
TSM said on Tuesday that WRC’s offer price would remain at RM1.25 per share. However, WRC had agreed to extend the acceptance deadline for the offer from Tuesday to April 6.
“The board has also resolved to consider any other credible offers for the business and undertaking, including all assets and liabilities of TSM received by 5pm on Monday, April 2, 2012,” it said.
To recap, several parties owning a 28.07% stake in TSM Global had on Feb 28, offered to acquire all the business, including assets and liabilities, for RM159.24 million or RM1.25 per share.
WRC is a special purpose vehicle in which TSM directors Datuk Lim Kheng Yew and Lim Tze Thean own 60:40 of West River.
The RM159.24 million would be RM1.25 cash per TSM share held by the remaining entitled shareholders and a deferred amount of RM1.25 per TSM share for all the shares held by identified parties as an amount remaining due and owing by the offeror.
TSM had then said the cash portion would amount to RM114.54 million and the deferred amount was RM44.70 million.
In the latest development, TSM said on Tuesday that all offers must contain the structure of the offer including period of offer; purchase consideration and method of settlement; intention of the offeror with regards to the existing employees of TSM group of companies.
TSM said background information of the offeror would have to be provided, including details of all directors and shareholders of the offeror; parties acting in concert and/or connected with the offeror; background information of the transferee of the TSM business if it is not to the offeror (including ultimate shareholder of the transferee);
It also said the offeror would have to provide a plan of the TSM business for the next 12 months after completion of the proposed acquisition of its business.
TSM also stated that an offeror (including WRC) interested in submitting an offer on or before the offer deadline had to provide an earnest deposit of RM500,000 which would only be refunded if the board/shareholders of TSM reject the offer.
