Temasek announces $0.08 per share cash offer for SembCorp Marine

Its subsidiary, Startree Investments, plans to acquire all ordinary shares of Sembmarine.

Temasek Holdings announced a $0.08 per share cash offer by one of their subsidiaries, Startree Investments Pte. Ltd. to acquire all issued and paid-up ordinary shares of Sembcorp Marine.

This is in response to Sembcorp Marine’s announcement on 24 June 2021, where its $1.5b rights issue of up to 18.8b new shares will have an issue price of $0.08. This received approval from the shareholders at a general meeting held on 23 August. The rights have been issued by the company on 22 September, completing the recapitilisation of Sembcorp Marine.

Under the rights issue, Startree provided an undertaking to Sembcorp Marine for its pro-rata entitlement and excess rights shares, with these not being more than 67% of the rights issue. Around 9.3 million rights shares were issued to Startree, which resulted in a 4% increase to its aggregate value from 42.6% to about 46.6%.

This increase in aggregate shareholding by more than 1% triggered an obligation for Startree to make the MGO for the shares of Sembcorp Marine. Due to this, Startree has determined the Rights Issue price of $0.08.