Digileap Capital Ltd., a partnership between the Loo family and private equity group Dymon Asia Capital (Singapore) Pte. Ltd., offered to acquire all the issued and paid-up ordinary shares of Singapore-based electronics retailer Challenger Technologies Ltd. at 56 Singaporean cents per share, with a voluntary delisting plan for the company.
The cash exit offer exceeds the highest closing price of Challenger shares since May 9, 2014, and it represents a premium of about 15.1% over the volume-weighted average price of 48.7 cents for the past 12-month period and a premium of about 110.1% to the net tangible asset value of the company as at Dec. 31, 2018.
The delisting from the Singapore Exchange Ltd.'s official list and the exit offer are contingent on the approval of the bourse and the approval of the delisting proposal at Challenger's extraordinary general meeting.
Shareholders who collectively own 78.64% of the target company provided undertakings to vote in favor of the delisting plan.
Dymon Asia Private Equity (S.E. Asia) Fund II will participate in the deal on behalf of Dymon Asia.
DBS Bank Ltd. is serving as financial adviser to Digileap Capital.
As of March 20, US$1 was equivalent to S$1.35.