Parkson files Softlogic mandatory offer on Odel in Bursa Malaysia

The star.com: Parkson Retail Asia Ltd. (PRA), the Singapore-listed department store subsidiary of Parkson Holdings, has received a mandatory takeover offer from the Softlogic Group to acquire 129.15 million shares, or 47.56%, in fashion retailer Odel Plc, for about RM6 9.74million.
In a filing with Bursa Malaysia, Parkson Holdings said the joint-offeror – Softlogic Holdings Plc and Softlogic Retail (Private) Ltd. – had triggered a mandatory takeover of Odel after buying 122.89 million shares, representing a 45.16% block in the company. It said the joint-offeror was offering to buy the remaining 149.24 million shares, or 54.84%, of Odel that it did not own, at an offer price of Rs. 22 (54 sen) per share. Prior to the offer, PRA held 129.15 million shares in Odel, representing 47.46% of the company. Odel is the only fashion retailer listed on the stock exchange.
Should PRA accept the offer made by the Softlogic Group, the company is expected to cash in about RM 69.74 million from the sale of its shares in Odel.
However, the offer price was three sen below Odel’s share price of 57 sen (Rs. 22.98) per share based on yesterday’s closing price on the Bourse.  “A detailed mandatory offer document will be sent to all shareholders of Odel within 35 days of incurring the obligation to make the mandatory offer, which is on or before Oct 16,” Parkson Holdings said. Parkson Holdings owns a 67.6% stake in PRA. In 2012, PRA made its first foray into   after having acquired a 41.82% stake in Odel for RM 34.3mil.