‘Of­fer for Al­com not fair, not rea­son­able’

The Sun (Malaysia) - - SUNBIZ -

PETALING JAYA: The takeover of­fer by prom­i­nent busi­ness­man Yeoh Jin Hoe for Alu­minium Com­pany of Malaysia Bhd (Al­com) is deemed “not fair” and “not rea­son­able”, ac­cord­ing to in­de­pen­dent ad­viser Mer­cury Se­cu­ri­ties.

Share­hold­ers are ad­vised to re­ject the of­fer.

In an in­de­pen­dent ad­vice cir­cu­lar filed with Bursa Malaysia, Mer­cury Se­cu­ri­ties said the of­fer price of 61 sen per share rep­re­sents a 68.88% dis­count to Al­com’s reval­ued net as­set value of RM1.96 per share or RM259.38 mil­lion.

Be­sides that, the of­fer price has been lower than the clos­ing prices of Al­com shares for about 80% of the to­tal mar­ket days over the past five years.

As the of­feror in­tends to main­tain the list­ing sta­tus of Al­com, share­hold­ers will still have the op­por­tu­nity to re­alise their in­vest­ments in the open mar­ket af­ter the clos­ing date on Oct 27, 2016.

Al­com’s non-in­ter­ested di­rec­tors Tunku Tan Sri Im­ran ibni Al­marhum Tuanku Ja’afar and Tengku Yunus Ka­marud­din have con­curred with Mer­cury Se­cu­ri­ties that the of­fer is not fair and not rea­son­able.

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