SIA steps up offer price for Tigerair to $0.45/share

It will be SIA’s final offer.

Singapore’s flag-carrier is determined to make its buyout offer more attractive to shareholders as it significantly raises its offer price by 10%, stating that it will be its final offer.

According to a press release by Singapore Airlines (SIA), the closing date for the offer has also been extended to 22 January 2016 at 5:30 pm.

SIA adds that the new offer price places Tigerair’s valuation to approximately $1.125b and represents a price premium of 45% over the last traded price of S$0.31 before the Offer was announced.

“In addition, the new Offer Price exceeds the highest closing price since 25 October 2013, on a rights-adjusted basis,” the statement said.

“As the 2016 work year begins, we are providing Tiger Airways shareholders certainty with the new Offer Price of S$0.45, which will not be revised further. We are optimistic that with this final upward revision of the Offer Price, those shareholders who have not already accepted the Offer will consider it favourably,” said SIA CEO Goh Choon Phong.