Shaw Kwei Proposes Acquisition And Delist Of Chosen Holdings

Southshore, a company owned by Shaw Kwei & Partners, announced the intention to make a voluntary conditional cash offer to acquire entirety of Chosen Holdings followed with the delisting of the group.

Southshore will offer $0.24 in cash for each offer share, a 21 percent premium over the last transacted price per share of $0.198 on the SGX on 31 August 2015. The offer price will value the group at approximately $67.6 million.

Upon acquisition, Shaw Kwei intends to delist the group from the SGX to give the management of the group more flexibility to manage and plan the group’s business on longer time horizon to optimize the use of its management and capital resources. Privatisation of the group will also dispense it from listing-related expenses and enable it to channel such resources towards its business operations instead.

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