The acquisition for the 15% stake in Jardine Strategic is priced at US$33 ($44.27) per strategic ordinary share for a total valuation of US$5.5 billion. The proposed price represents a premium of 20.2%, 29% and 40.3% to its last closing price, one-month volume-weighted average closing price, and six-month volume-weighted average closing price respectively, as of March 5.
As part of its plans to simplify the parent company structure of Jardine Matheson Holdings, the group is planning a cash acquisition of 15% of Jardine Strategic Holding's issued share capital which is not already owned by Jardine Matheson and its wholly-owned subsidiaries.
The transaction is part of an exercise to streamline the group’s current cross-holding structure, in which Jardine Strategic presently owns a 59% stake in Jardine Matheson.
