TEXCHEM (8702) - Texchem seeks more time to submit exit offer for its Singapore unit’s shareholders
April 7, 2015 : 7:33 PM MYT
KUALA LUMPUR (April 7): Plastics packaging and industrial chemicals producer Texchem Resources Bhd is seeking a three-month extension from the Singapore Stock Exchange (SGX) to submit its reasonable exit offer proposal following the delisting notification issued to its 70.48%-owned Singapore-listed subsidiary Texchem-Pack Holdings (S) Ltd (Texchem-Pack) last year.
Texchem (fundamental: 0.4; valuation: 2) told Bursa Malaysia today that it would not be able to meet the deadline to submit the proposal to the SGX, which falls on April 7 (today).
This is not the first time Texchem is seeking an extension for the exit offer proposal submission. The SGX had originally given Texchem-Pack one month from the date of the delisting notification on March 5 last year to make an exit offer proposal.
Today, Texchem said it is still preparing the exit offer to be issued to Texchem-Pack's shareholders.
"In coming up with an exit offer price, Texchem would require an accurate estimate of the value of the assets of Texchem-Pack and its subsidiaries. Thus, a valuation of these assets is necessary," the group said.
Texchem also said Texchem-Pack is currently in the process of appointing a valuer and independent financial adviser.
"As the plant and machinery assets of Texchem-Pack and its subsidiaries are located in different countries, the valuer would need approximately 8 weeks to complete its valuation report," it said, adding the independent financial advisers being shortlisted by Texchem-Pack will require a valuation report before they can put forward their report to Texchem-Pack.
“In view of the above requirements, Texchem would not be able to meet the April 7, 2015 deadline to submit its reasonable exit offer proposal to the SGX. As such, Texchem-Pack had on April 2, 2015 applied to the SGX seeking a further extension of a further 3 months for TRB to submit a reasonable exit offer proposal to the SGX,” it noted.
To recap, Texchem-Pack received a delisting notification from SGX on March 5 last year, after it failed to rejuvenate its financials within the time frame specified by the bourse regulator, after being placed on SGX's watch list on March 5, 2012.
Texchem closed down four sen or 2.67% at RM1.46, for a market capitalisation of RM181.18 million.
http://www.theedgemarkets.com
April 7, 2015 : 7:33 PM MYT
KUALA LUMPUR (April 7): Plastics packaging and industrial chemicals producer Texchem Resources Bhd is seeking a three-month extension from the Singapore Stock Exchange (SGX) to submit its reasonable exit offer proposal following the delisting notification issued to its 70.48%-owned Singapore-listed subsidiary Texchem-Pack Holdings (S) Ltd (Texchem-Pack) last year.
Texchem (fundamental: 0.4; valuation: 2) told Bursa Malaysia today that it would not be able to meet the deadline to submit the proposal to the SGX, which falls on April 7 (today).
This is not the first time Texchem is seeking an extension for the exit offer proposal submission. The SGX had originally given Texchem-Pack one month from the date of the delisting notification on March 5 last year to make an exit offer proposal.
Today, Texchem said it is still preparing the exit offer to be issued to Texchem-Pack's shareholders.
"In coming up with an exit offer price, Texchem would require an accurate estimate of the value of the assets of Texchem-Pack and its subsidiaries. Thus, a valuation of these assets is necessary," the group said.
Texchem also said Texchem-Pack is currently in the process of appointing a valuer and independent financial adviser.
"As the plant and machinery assets of Texchem-Pack and its subsidiaries are located in different countries, the valuer would need approximately 8 weeks to complete its valuation report," it said, adding the independent financial advisers being shortlisted by Texchem-Pack will require a valuation report before they can put forward their report to Texchem-Pack.
“In view of the above requirements, Texchem would not be able to meet the April 7, 2015 deadline to submit its reasonable exit offer proposal to the SGX. As such, Texchem-Pack had on April 2, 2015 applied to the SGX seeking a further extension of a further 3 months for TRB to submit a reasonable exit offer proposal to the SGX,” it noted.
To recap, Texchem-Pack received a delisting notification from SGX on March 5 last year, after it failed to rejuvenate its financials within the time frame specified by the bourse regulator, after being placed on SGX's watch list on March 5, 2012.
Texchem closed down four sen or 2.67% at RM1.46, for a market capitalisation of RM181.18 million.
http://www.theedgemarkets.com
