UPDATE: Konnectivity: M1 bid price won’t be raised

M1 retail outlet at Orchard Road In SingaporeM1 retail outlet at Orchard Road In Singapore

Konnectivity, the bidder for M1 said on Tuesday that it doesn’t intend to raise its S$2.06 a share offer and that it would extend the closing date of the offer by two weeks.

Shares of M1 ended Monday at S$2.07.

The closing date of the offer is now 18 February, extended from 4 February, it said in a filing to SGX before the market open on Tuesday.

On Wednesday, Konnectivity clarified the level of acceptances of the offer, saying it was 1.12 percent of the total number of shares as of Monday’s close, bringing the percentage it controls or had agreed to acquire to 34.41 percent; on Tuesday, it had said the level of acceptances was 1.05 percent.

Earlier this month, Konnectivity issued offer documents and options proposal for its voluntary conditional general offer to acquire all outstanding shares of Singapore telco M1.

Konnectivity is a special purpose vehicle set up by M1 shareholders Keppel Corp. and Singapore Press Holdings (SPH) for the offer. At the time of the offer, it had a deemed interest of around 33.32 percent of M1, with Keppel Telecommunications & Transportation, which is 79 percent owned by Keppel, owning 19.2 percent, while SPH has a 13.45 percent stake held via wholly owned subsidiary SPH Multimedia.

The offer is aimed at obtaining at least 50 percent plus one share of M1 and the offer will become unconditional once that threshold of acceptances has been reached.

Another major shareholder, Axiata, which has a 28.67 percent M1 stake, has not stepped forward with a competing offer.

This article was originally published on Tuesday, 22 January 2019 at 8:35 A.M. SGT; it has been updated with a clarification from Konnectivity on the level of acceptances of the offer.

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