KUALA LUMPUR (Jan 16): DRB-HICOM BHD [], which secured the winning bid for Khazanah Nasional’s 42.7% stake in PROTON HOLDINGS BHD [], will make a mandatory general offer (MGO) for the remaining stake in the national car maker.
DRB-Hicom said on Monday, the purchase price for the 42.7% stake at RM1.29 billion cash was based on RM5.50 per share.
“Upon completion of the proposed acquisition, DRB-Hicom’s shareholding in Proton will increase from nil to approximately 42.74%. DRB-Hicom will be obliged to extend a MGO for all the remaining Proton shares for a cash consideration of RM5.50 per Proton share,” it said.
DRB-Hicom said the proposed MGO would also depend on DRB-Hicom securing acceptances which would result in it holding more than 50% of the voting shares of Proton.
“The purchase consideration for the proposed acquisition of RM1.29 billion or RM5.50 per Proton share was arrived at on a willing buyer-willing seller basis after taking into consideration the audited net asset and net profits of Proton group for the FYE March 31, 2011, the potential future earnings of Proton Group, potential synergistic benefits arising from the proposed acquisition to DRB-Hicom and its group of companies and the prevailing and historical market prices of Proton shares,” it said.
DRB-Hicom said there were no liabilities, including contingent liabilities and guarantees, to be assumed by DRB-Hicom pursuant to the proposals.
“The existing liabilities of Proton group will be settled by Proton group in its ordinary course of business. There are no additional financial commitments by DRB-Hicom in putting the assets/businesses of Proton Group on-stream as Proton Group already has on-going businesses.
“The proposals will be funded by internally generated funds and/or external borrowings,” it said, adding it expected the proposals to be completed in the second quarter of 2012.
DRB-Hicom said on Monday, the purchase price for the 42.7% stake at RM1.29 billion cash was based on RM5.50 per share.
“Upon completion of the proposed acquisition, DRB-Hicom’s shareholding in Proton will increase from nil to approximately 42.74%. DRB-Hicom will be obliged to extend a MGO for all the remaining Proton shares for a cash consideration of RM5.50 per Proton share,” it said.
DRB-Hicom said the proposed MGO would also depend on DRB-Hicom securing acceptances which would result in it holding more than 50% of the voting shares of Proton.
“The purchase consideration for the proposed acquisition of RM1.29 billion or RM5.50 per Proton share was arrived at on a willing buyer-willing seller basis after taking into consideration the audited net asset and net profits of Proton group for the FYE March 31, 2011, the potential future earnings of Proton Group, potential synergistic benefits arising from the proposed acquisition to DRB-Hicom and its group of companies and the prevailing and historical market prices of Proton shares,” it said.
DRB-Hicom said there were no liabilities, including contingent liabilities and guarantees, to be assumed by DRB-Hicom pursuant to the proposals.
“The existing liabilities of Proton group will be settled by Proton group in its ordinary course of business. There are no additional financial commitments by DRB-Hicom in putting the assets/businesses of Proton Group on-stream as Proton Group already has on-going businesses.
“The proposals will be funded by internally generated funds and/or external borrowings,” it said, adding it expected the proposals to be completed in the second quarter of 2012.
