Sembcorp Industries’ wholly-owned unit Sembcorp Utilities has started a tender offer for all of the issued and outstanding common shares of New York Stock Exchange-listed Cascal N.V., a provider of water and wastewater services.

The tender has an offer price of US$6.75 per share ($9.5 per share) if at least 80% of the issued and outstanding shares of Cascal on a fully diluted basis are validly tendered and not withdrawn.

The offer is related to a deal between Sembcorp and Biwater Investments in which the former would buy the latter’s 58.4% stake in Cascal.

Yesterday, Cascal’s request for an injunction against Sembcorp's tender offer was denied in a US district court.

The Dutch water firm had filed the complaint on the grounds that the tender offer violated US securities laws and breached confidentiality agreements.