SBI Offshore will have to make a cash exit offer to shareholders after it failed to meet the August 31 deadline to complete the proposed acquisition of the Berlitz group.

According to the filing, the Singapore Exchange (SGX) has terminated its review of SBI’s pre-admission notification for the proposed acquisition.

SBI Offshore first proposed acquisition of the marine offshore and solutions providers on Feb 20, 2019. The acquisition, if successfully completed, will constitute a reverse takeover of SBI.

The shares in SBI will be delisted from the SGX-ST after it has made the exit offer to shareholders and holders of any other classes of listed securities.

The exit offer must be “fair and reasonable”. SBI must also appoint an independent financial adviser to “advise and opine” as such.

Trading in SBI’s securities will continue till 5pm on September 30 to allow shareholders to exit their investment if they decide to do so. Trading in SBI’s shares will be suspended with effect from October 1.

SBI says it will provide updates as and when there are material developments.

As at 11.38am, shares in SBI Offshore are trading flat at 3.5 cents.

See also: SBI Offshore shareholders call for EGM to prevent further deals with Berlitz CEO