SINGAPORE (June 10): 800 Super Holdings says independent financial adviser (IFA) Novus Corporate Finance considers the privatisation offer from its controlling Lee family to be “fair and reasonable”.

See: 800 Super gets 90 cents per share privatisation offer from KKR

To recap, the Lee family who owns a majority stake of 800 Super is seeking to delist the company via a 90 cents per share cash offer from 8S Capital Holdings, which is in turn wholly-owned by American investment firm Kohlberg Kravis Roberts & Co (KKR).

Lee Koh Yong is a director of 8S Capital and also the executive chairman of 800 Super.

Lee and five of his siblings, together who own some 77.6% of the group, have provided irrevocable undertakings to accept the offer and roll all of their shares into 8S Capital by subscribing for all of the shares in it. He says privatising the latter company will enable it to save on expenses to maintain its listed status, thus allowing it to focus on operational matters amid the competitive business landscape.

In 800 Super’s latest filing on Monday, Novus, through its IFA letter, recommends that 800 Super’s independent directors accept the offer unless shareholders are able to obtain a price higher than the offer price on the open market, taking into account all the brokerage commissions or transactions costs in connection with open market transactions.

Likewise, the company’s group of independent directors concur with the IFA’s recommendation and accordingly, advises shareholders to accept the offer notwithstanding the abovementioned exceptions.

The offer will close at 5pm on June 24.

As at 11.30am, shares in 800 Super were trading flat at 89 cents.