Newswires report that major PE firms Blackstone Group and Carlyle Group are considering a bid for Goodpack Limited. In response, Goodpack re-iterated in an SGX announcement that it has been approached by parties in connection with a possible transaction and discussions are on-going. We note that this is not the first time Goodpack was suited - previously in 2008, Brambles and packaging company Loscam Ltd were reported as possible suitors but the transaction never went through. As this is still at a preliminary stage and there is no official confirmation, we are maintaining our HOLD rating with fair value estimate of S$2.17.

Source: OCBC Research - 4 Apr 2014