Konnectivity Pte. Ltd. (Offeror) has just announced that it does not intend to increase the current offer price of S$2.06/share under any circumstances. Importantly, this means that the Offeror will not be allowed to subsequently increase the offer price.

As of 5pm on 21 Jan 19, the Offeror has received valid acceptances of ~1.05% of total number of M1 shares, bringing its stake (together with those of concert parties and valid acceptances) to 34.35%.

The Offeror has also extended the closing date of the offer from 4 Feb to 18 Feb (5.30pm).

This announcement comes on the heels of the advice of the Independent Financial Adviser to the recommending directors to recommend that shareholders accept the offer, unless a higher price can be obtained on the open market (taking into account commissions and transaction costs).

Recommending directors have also stated that they are of the same opinion.

We continue to maintain our ACCEPT THE OFFER rating on M1.

Source: OCBC Research - 22 Jan 2019