Internet Technology Group

[opmi]

The market price of the company, is 13.2-13.3 cents with a volume of about 200 lots, even after the offer price revision of 13.8 cents.

I am puzzled by those sold their stake below 13.8 cents today. Isn't it irrational to accept a price below 13.8 cents?

(vested)

it is an unconditional offer? if not, then these sellers are putting money in their pockets first.

[CityFarmer]

The market price of the company, is 13.2-13.3 cents with a volume of about 200 lots, even after the offer price revision of 13.8 cents.

I am puzzled by those sold their stake below 13.8 cents today. Isn't it irrational to accept a price below 13.8 cents?

(vested)

it is an unconditional offer? if not, then these sellers are putting money in their pockets first.

It is conditional upon shareholders and regulatory approvals.

[CityFarmer]

Since the revision of exit offer price to 13.8 cents, the Goh Bothers seems getting good response from shareholders. It has acquired close to 1% of total shares, within the last 2 days. It is a great improvement over the pathetic acquired total share of less than 0.1%, before the revision.

(vested)

[CityFarmer]

Since the revision of exit offer price to 13.8 cents, the Goh Bothers seems getting good response from shareholders. It has acquired close to 1% of total shares, within the last 2 days. It is a great improvement over the pathetic acquired total share of less than 0.1%, before the revision.

(vested)

Well, the Goh Brother didn't manage to acquire any share today. The price revision seems lost its stream just after 2 days...

(vested)

[CityFarmer]

Let's recap on performance of the exit offer, since it was announced on 25 Sep 2013. Up-to-date, total shares acquired were 1725 lots, 1.3% of total outstanding shares, more than 2 months after the initial offer.

Is the revised offer of 13.8 cents per share fair? Let's go thru the numbers.

The NAV attribute to shareholder is about $21mil, which is about 15.6 cents per share.

Look further into the balance sheet, the key assets are $36mil of cash, and $61 mil of investment property, which is valued at cost. The key liability is the $78 mil of deferred revenue from properties sale, and is expected to reach "TOP" early 2014.

(vested)

[cyclone]

If we are to learn from Superior Multi Packaging case. It is more profitable to stay vested.
But history may not repeat itself.

[CityFarmer]

The IFA report is out, and as usual the recommendation is

"we are of the view that, the financial terms of the Exit Offer are fair and reasonable under the market, economic, industry, monetary and other conditions prevailing as at the Latest Practicable Date and are not prejudicial to the interests of the Shareholders."

I am more interested on the NAV/RNAV since the property is the major part of the company value. From the circular doc, the offer price of $0.138 is
- a discount of approximately 26.5% to the Unaudited Ex-Cash book NAV per Share
and
- a discount of approximately 28.5% to the Unaudited RNAV per Share

I haven't gone thru the working in detail, but just base on the conclusion above, the offer price should be higher IMO.

(vested)
Ref: http://infopub.sgx.com/FileOpen/ITGCircu...eID=270031

[lonewolf]

The Proposed Delisting was approved at the EGM today. While perhaps not really surprising that it will get through, the margin of victory was. It was a massacre for those opposing the delisting. An overwhelming 98.20% of those present voted for the delisting.

PROPOSED VOLUNTARY DELISTING OF INTERNET TECHNOLOGY GROUP LIMITED RESULTS OF EXTRAORDINARY GENERAL MEETING

With the approval of the proposed delisting, does that means that shareholders who does not accept the offer will end up with shares in an unlisted company? So this will not be the like what happened with CK Tang where those who dun accept the offer were still holding shares in the listed CK Tang.

From the latest filing, the concerted parties now owns 75.27% of the company shares.

So if no one else accept the offer or if the parties does not reached the 90% acceptance level, can they still delist the company? So does this signal the end and we should just accept the offer>?

[ghchua]

Hi lonewolf,

Nice to meet you again. It had been a long time since sgfunds days.....

Yes. The offer has become unconditional. Which means, if you accept the offer now, you will receive your money in 10 days.

The delisting is on since shareholders had voted for the delisting at the EGM, SIC had given the green light and SGX has no objection.

If you do not accept the offer, the shares will still be delisted and you will be holding an unlisted company if they do not have the right to compulsory acquire your shares. The 90% will only determine whether they have the right to compulsory acquire all the remaining shares out there. It doesn't affect the delisting outcome, which of course is a foregone conclusion since all the conditions had been satisfied.

[lonewolf]

Hey ghchua, what took you so long to make your way over here?

Thanks for the clarifications. Guess I better send my form in *sigh*

Or maybe just for the hell of it, and since my holding is small, maybe I just wait for them to send me the hardcopy share certificate. 8)