OCBC launches exclusive talks with Thai tycoon for potential UEL stake sale

The exclusivity agreement will last for six weeks.

OCBC and Great Eastern Holdings today revealed that they have entered into an exclusivity agreement with a firm controlled by Thai billionaire Charoen Sirivadhanabhakdi, in connection with the potential sale of OCBC and Great Eastern’s combined stake in United Engineers Limited.

OCBC and GEH entered the agreement yesterday, August 26, with TCC Top Enterprise Limited, a company controlled by Charoen Sirivadhanabhakdi and Khunying Wanna Sirivadhanabhakdi.

“The period of exclusivity will commence from 26 August 2014 and will expire at 24:00 on the date falling six (6) weeks from the date that due diligence access on the UEL group of companies is granted to TCC and
its representatives/advisers by the board of directors of UEL (both dates inclusive),” noted a joint statement from OCBC and GEH.

Here’s more from the joint statement:

As stated in the Joint Announcement, discussions are preliminary at this stage and shareholders of OCBC Bank and GEH are advised that there is no certainty that any transaction or agreements will be entered into pursuant to these discussions.

Shareholders are further advised to exercise caution when dealing in the shares of OCBC Bank or GEH and to refrain from taking any action in respect of their investments which may be prejudicial to their interests. In the event that shareholders wish to deal in the shares of OCBC Bank or GEH, they should seek their own professional advice and consult with their own stockbrokers.

OCBC Bank and GEH will, in compliance with applicable rules (including the Corporate Disclosure Policy of the Listing Manual of the Singapore Exchange Securities Trading Limited), make further announcements as appropriate.