Digital innovation provider Revez Corporation has received a mandatory offer for all its shares after a lawyer and an investor jointly acquired a 58.58% stake in the company.
Lawyer Bernard Tan Kim Swee and investor Lim Quee Lan had bought the 58.58% stake from L3N Capital, CEO Victor Neo Wee Han, COO Lim Kian Sing and Liang Xingfen, the spouse of Revez chief creative technology officer Lee Han Chong.
Tan and Lim had purchased the stake at 3.06 cents per share. Tan is described as a lawyer, as well as the founder and managing director of Quadrant Law, while Lim is an investor who was a former MNC executive.
At the time of the announcement, L3N Capital held 53.8% of Revez, and Neo, Lim and Liang were all deemed interested in the shares held by L3N Capital. Liang held a 0.06% direct stake in Revez, Neo a 1.86% stake, and Lim a 2.85% stake.
Due to this transaction, the offerors are therefore obliged to make a mandatory unconditional cash offer for all the issued and paid-up ordinary shares in the company. Tan and Lim have therefore also offered to buy the remaining shares at 3.06 cents per share.
The offer price is 66% lower than the last transacted price of 9 cents on Dec 1, being the last trading day before this announcement, and 65.58% lower than the volume-weighted average price (VWAP) per share of 8.89 cents, for the one-month period up to and including Dec 1.
The VWAP per share for the three-month period up to and including Dec 1 was 9.27 cents, which puts the offer price at 67% lower.
The SGX filing also revealed that Tan and Lim are making the offer as a result of the acquisition of the 58.58% stake, solely to comply with the requirements of the Singapore Code on Take-overs and Mergers.
Both Tan and Lim also added that there is currently no intention to introduce any major changes to the existing businesses of Revez, re-deploy its fixed assets or discontinue the employment of its employees other than in the ordinary course of business.
However, they will, upon the offer’s close, review their strategic options in relation to the existing businesses and consider possible acquisitions, disposals, joint ventures, business partnerships and business model transformation opportunities which are in Revez’s interests
This includes, among others, seeking approval from Revez’s shareholders to diversify its businesses.
Tan and Lim also retain the flexibility “to explore options or opportunities which may present themselves”, as well as to consider any options when making changes to Revez’s business, including the redeployment of fixed assets and continued employment of its employees.
Shares of Revez closed flat at 9 cents on Dec 7.