• Offer declared unconditional
• Offer closing date extended to 2 Nov 17
• HNA intends to privatise CWT

Level of Acceptances at 76.7% as at 27 Sep 17

HNA Holding Group (HNA) recently announced that it has received valid acceptances for its voluntary conditional general offer (VGO) to acquire CWT Limited (CWT) at S$2.33 in cash such that the number of CWT shares HNA now holds carry more than 50% of the voting rights in CWT. As a result, given that the minimum acceptance condition has been met, the offer was declared unconditional in all respects on 22 Sep 17. Recall that HNA made the VGO on 7 Sep 17, and the level of acceptances as at 5pm on 27 Sep 17 was at 76.7%. As the offer has been declared unconditional, the closing date of the offer has also been extended from 5.30pm (Singapore time) on 19 Oct 17 to 5.30pm (Singapore time) on 2 Nov 17.

HNA Has No Intention to Keep CWT Listed

Our previous rating since HNA announced the pre-conditional offer had been to recommend shareholders to accept the offer when the formal VGO is made as the offer price of S$2.33 is higher than our FV, with the most recent FV being S$1.91. In addition, HNA intends to delist and privatise CWT, and has no intention of taking any steps to keep CWT listed. Therefore, with the offer now made unconditional and given the impending privatisation of CWT, we are ceasing coverage on CWT.

Source: OCBC Research - 28 Sept 2017