When the Ongs announced the offer, it had stated the intention of maintaining the listing status of the company.
On July 5, United Overseas Bank, on behalf of the major shareholders of Lian Beng Group, announced the 50 cents per share offer had gone unconditional - that is the founding Ong family and friendly parties hold more than 50%. However, the announcement reiterates that the offer closes at 5.30pm on July 26, with no extension of the closing date.
The offer shines a spotlight on the vast difference between the offer price of 50 cents per share relative to Lian Beng’s net asset value of 145.58 cents. In addition, the company carries very a modest amount of debt, with a net debt to equity ratio of around 0.47.
