The group of controlling shareholders of Best World International are offering $2.50 per share to the remaining shareholders to buy them out via a selective capital reduction offer.
The offer, which was flagged more than a week ago, will be put in front of shareholders holding 34.88% of the shares. A nod from a minimum of 75% out of this group is required for the offer to go ahead and for the company to be privatised.
According to Best World, it expects "growth headwinds" in China, where it has a heavy presence.
"The company believes a privatisation of the company will provide the necessary flexibility to optimise its resources to focus on the longer-term strategies of the business," says Best World.
The offer price of $2.50 is a 12.6% premium over the April 3 closing price of $2.22, and a bigger premium of more than 40% over the closing price on March 21, just before Best World first flagged its intention to make this selective capital reduction.
