Kyowa-tied Exeo Global’s takeover bid for DeClout has become compulsory after acceptances rose above 90 percent of the maximum possible shares, it said in a filing to SGX on Sunday.
As of the close of business on Friday, the total number of shares controlled by Exeo Global and valid acceptances of the offer rose to 631.63 million, or around 94.44 percent of the maximum possible shares, which includes options, the filing said.
That entitled Exeo Global to exercise the right to compulsorily acquire all the shares of holders who haven’t accepted the offer, it said, adding it was in line with its plan to make DeClout a wholly owned subsidiary.
In early January, Exeo Global said it planned to make a voluntary cash offer for all of DeClout’s shares for S$0.13 each, conditional on obtaining acceptance by holders of at least 50 percent of DeClout’s shares. The offer became unconditional on 22 January.
Exeo Global has said previously that delisting DeClout would provide management more flexibility for operational change, and allow it to save on expenses. The acquisition was in line with Kyowa’s regional growth strategy, with DeClout able to provide it with a “strong platform” for entering Singapore’s market, which it views as a regional business hub, it has previously said.
Singapore-based Exeo Global is a wholly owned subsidiary of Japan-based Kyowa Exeo Corp., which is listed on the Tokyo Stock Exchange.
DeClout is an investment holding company, and it offers information and communications technology services internationally, according to the SGX data.