The sale price represents a 52.3% premium to Mandarin Oriental’s closing price of US$2.20 on Sep 29, and a 53.7% premium to its net asset value of US$2.18 per share as at June 30.
Jardine Matheson is acquiring the remaining 11.96% of Mandarin Oriental for US$3.35 per share, bringing the company’s total valuation to about US$4.2 billion ($5.44 billion).
Jardine Matheson’s wholly-owned subsidiary Bidco will acquire the remaining stake, and the acquisitions will be implemented by way of a scheme arrangement. This involves a US$2.75 scheme value and the US$0.60 special dividend from the hotel group’s sale of part of One Causeway Bay (OCB), a commercial development in Hong Kong.
