The spate of privatisation of listed companies here is continuing.
The Adijanto family of Indonesia is offering 25 cents a share for palm oil company Global Palm Resources Holdings, valuing the company at around $62.4 million.
The family, via another vehicle, already controls 82.98% of the company.
W Capital Markets has been appointed by the Adijanto family as the financial adviser for this deal.
At 25 cents, the offer is a premium of 93.8% over the last transacted price of 12.9 cents on March 28, just before the offer announcement was made.
The offeror reserves the right to revise the terms of the offer.
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The offeror believes that the delisting and privatising of the company will give them greater control and management flexibility to manage the business.
Unlike a couple of other higher-profile Indonesian palm oil companies listed here, such as Wilmar International and Golden Agri-Resources, the trading volume of Global Palm Resources has typically been very thin.
Average daily trading volume over the past few months has been between 2,700 and 6,000 shares.
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The company, led by executive chairman and CEO Suparno Adijanto, on Feb 28 reported record earnings of 72.1 billion rupiah for FY2022 ended Dec 31 2022, up slightly from 71.9 billion rupiah recorded for FY2021.
Revenue in the same period was 606.5 billion rupiah, up 13%, thanks to higher palm oil prices and higher volume produced and sold.
