CFA Society Singapore
SINGAPORE (Feb 19): Shares of Procurri Corporation fell on Tuesday morning after it announced that potential investor New State Capital Partners had withdrawn its acquisition offer.
The latest withdrawal follows the Feb 8 termination of discussions by a second potential offeror after New State to acquire the company through a possible voluntary general offer.
Enterprise hardware supplier Procurri had asked for a trading halt of its shares at 8.03am and lifted it at 12.24am after the announcement.
As at 2.50pm, shares of Procurri were trading at 28 cents, down 9.7% or three cents. Some 773,700 shares had changed hands.
Procurri did not state the reasons New State gave for the withdrawal of the letter of intent (LOI).
New State, a US private investment firm, had on Feb 3 proposed to acquire all the shares of Procurri -- excluding treasury shares and those held by substantial shareholder Irrucorp -- via a scheme of arrangement.
Irrucorp, in which Procurri chairman and global CEO Sean Murphy, and executive director and global president Edward Flachbarth are deemed to have interests, owns about 12.03% of the company as at March 16, 2018, according to Procurri's 2017 annual report.