EY goes on to suggest that shareholders may wish to sell their shares in the open market if they are able to obtain a price higher than the offer price, net of related expenses (such as brokerage and trading costs).
Oversea-Chinese Banking Corporation (OCBC)’s offer to buy Great Eastern Holdings (SGX:G07
) (GEH) for $25.60 per offer share has been described by its independent financial advisor (IFA) EY as “not fair but reasonable”. But, EY is advising GEH’s independent directors to accept the offer.
The much awaited recommendation by EY, was released just before 8pm on June 14. The release notes: “Having regard to the considerations set out in this letter and as discussed above, the information available to us as at the latest practicable date and subject to the qualifications made herein, we are of the opinion that the financial terms of the offer are, on balance, not fair but reasonable. Taking the factors we have considered, we advise the independent directors to recommend that shareholders accept the offer.”
