Cityneon to delist after accepting buyout offer

West Knighton is buying 99% of its shares.

Turnkey service provider Cityneon said that an application for the delisting of the company will be made to the Singapore Exchange Securities Trading (SGX-ST) following its acceptance of a buyout offer from West Knighton to acquire approximately 242 million or 99% of its shares, an announcement by Credit Suisse revealed.

West Knighton is a special purpose vehicle indirectly owned by Cityneon’s group chief executive Ron Tan and Hong Kong entrepreneur Johnson Ko. According to the announcement, West Knighton will exercise its right to compulsory acquire all the shares held by dissenting shareholders at a price of $1.30 in cash on or after 5 February 2019.

“The dissenting shareholders need not take any action in relation to their rights,” Credit Suisse noted. “Dissenting shareholders who nonetheless wish to exercise such rights or who are in any doubt as to their position are advised to seek their own independent legal advice.”

As West Knighton acquired more than 90% of the total number of issued shares, trading in Cityneon will be suspended as it not longer meets the free float requirement by the Singapore Exchange (SGX) which indicates that firms must ensure that at least 10% of its shares are held by the public.

The result of its delisting application to the local bourse will be announced in due course.