Hovid share price jumps on privatisation bid

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PETALING JAYA: Shares of Hovid Bhd jumped 14.06% this morning, after it received a conditional voluntary takeover offer from its managing director David Ho Sue San and Fajar Astoria Sdn Bhd, which will result in the company being taken private.

At 10.22am, the stock, which was among the top gainers, stood at 36.5 sen with 11.33 million shares changing hands. Hovid’s market capitalisation stood at RM262.68 million.

The offer involves the acquisition of 66.28% of Hovid’s total shares issued and 56.43% of total outstanding warrants as at Oct 5, 2017, with the offer of 38 sen per share and 20 sen per warrant.

Each warrant carries the right to subscribe for one new share during the five-year exercise period which expires on June 5, 2018 at an exercise price of 18 a share, payable in cash.

Ho currently holds 33.72% of the shares and 43.57% of the warrants.


Read the original story on: TheSunDaily.My