PALETTE (0005) - Hot Stock Takeover news spur Palette Multimedia higher


PALETTE (0005) - Hot Stock  Takeover news spur Palette Multimedia higher

KUALA LUMPUR (Dec 19): Palette Multimedia Bhd's share price opened 16.7% higher this morning at seven sen, with some 5.4 million shares traded, on news that it had received a takeover offer from a local investment fund.

The Edge Financial Daily this morning reported that Palette Multimedia has received a takeover offer from a local investment fund to acquire a controlling 51% stake in the loss-making information technology company, according to sources close to the deal.

Two sources told The Edge Financial Daily that the fund, which is linked to a local life sciences company, is ready to make an offer for nine sen per share, which values Palette Multimedia at RM28.76 million. The nine sen offer price represents a 50% premium to Palette Multimedia's closing share price of six sen last Friday.

At 11.20am, Palette Multimedia is valued at RM22.37 million.




PALETTE (0005) - Hot Stock  Takeover news spur Palette Multimedia higher
http://www.theedgemarkets.com/my/article/takeover-news-spurs-palette-multimedia-higher