Shareholders holding about 99.99% of the total share capital in LHN Limited 41O have voted for the potential disposal of LHN Logistics at an extraordinary general meeting (EGM) held on July 31.
The approval, coupled with the consent given by JTC Corporation, means that the offer from China’s Milkyway Chemical for LHN Logistics will go through.
Shanghai-listed Milkyway, on June 4, made an offer for LHN Logistics at 22.66 cents apiece, 13.3% over LHN Logistics’ initial public offering (IPO) price of 20 cents in April 2022.
Since it started trading, shares in LHN Logistics have never gone above the IPO price and changed hands for as low as 12 cents last December.
The deal was pre-conditional upon LHN’s shareholders approving the sale and obtaining written consent from JTC for the change in LHN’s indirect ownership in Hean Nerng Logistics, LHN’s wholly-owned subsidiary. Hean Nerng Logistics owns the property located at 7 Gul Avenue.
Shares in LHN and LHN Logistics closed at 38.5 cents and 22.5 cents respectively on July 31.
