- POSTED: 27 May 2014 21:38
- UPDATED: 27 May 2014 23:17
US private equity firm KKR & Co has announced plans to buy over Singapore mainboard-listed Goodpack by way of a scheme of arrangement.
SINGAPORE: US private equity firm KKR & Co has announced plans to buy over Singapore mainboard-listed Goodpack by way of a scheme of arrangement.
Under the proposal, all Goodpack ordinary shares will be transferred to IBC Capital, a unit of KKR.
In return, Goodpack shareholders will get S$2.50 per share in cash, valuing the deal at nearly S$1.4 billion.
That would make the deal one of Asia's largest private equity acquisitions so far this year.
The price of S$2.50 represents a premium of 23.2 per cent to Goodpack's closing price on March 18, which is the last trading day before the company first announced that it was in talks about a possible acquisition.
Under the scheme of arrangement, the High Court will order a shareholders' meeting to be convened.
The offer must be approved by a majority of Goodpack shareholders who are present at the meeting, and this majority must jointly own at least 75 per cent of the value of the shares represented by those present.
Goodpack's founder and largest shareholder David Lam has pledged to sell his entire 32 per cent stake to KKR.
Goodpack operates the world's largest fleet of steel intermediate bulk containers which are used in the rubber and tyre, and food and chemical industries.