Kreuz

Hi Observer2,

I went to take a look at the SGX Rulebook on delisting: rulebook.sgx.com/en/display/display_main...3271&element_id=5345

The Exchange may agree to an application by an issuer to delist from the Exchange if:—

(1) the issuer convenes a general meeting to obtain shareholder approval for the delisting;

(2) the resolution to delist the issuer has been approved by a majority of at least 75% of the total number of issued shares excluding treasury shares held by the shareholders PRESENT AND VOTING, on a poll, either in person or by proxy at the meeting (the issuer's directors and controlling shareholder need not abstain from voting on the resolution); AND

(3) the resolution has not been voted against by 10% or more of the total number of issued shares excluding treasury shares held by the shareholders PRESENT AND VOTING, on a poll, either in person or by proxy at the meeting.

Do you think it is applicable to Kreuz?

Hi, I am holding some shares of Kreuz and because I live overseas and my mail is sent to my Singapore address, I have not been able to keep up with changes to the initial offer of 80cents per share.
I would really like to hear from other share holders if they have accepted the offer or if they are holding out for a higher offer. Any additional info about the progress of the buyout would be greatly appreciated.

Thanks guys for making this website the best for Singapore stocks.

Hi, ZAD,
I understand the ruling is also applicable to Kreuz and it is virtually certain that the change of ownership would go through. However, in the event the majority of the minority shareholders present at the forthcoming meeting voted against the takeover, they may be able to prevent the stock from getting delisted.
I consider the offer of 80 cents as unattractive for minority shareholders and would not be surprised if the stock be relisted, here or elsewhere in one or two years time, at 2 or 3 times current market valuation after the company has substantially increased its revenue and profits through its current expansion programme.

I agree with your view Observer2. It's a really good stock and should be worth much more. I really hate to see it delisted. I think the management should not have accepted the offer from SEA9 and at the same time reject any competing offer outright.

ontheball, I think if possible you should transfer your shares to a nominees account and get them to appoint a proxy to attend and vote against the resolution.

BTW, if Swiber's shareholders does not approve the sale of its stake in Kreuz at their EGM, maybe Kreuz will be safe. (not sure how it will turn out, though.)

Thanks for the advise, ZAD.