KUALA LUMPUR: Shareholders of Goh Ban Huat Bhd have received an unconditional mandatory takeover offer from Paragon Adventure Sdn Bhd.
Paragon Adventure offered to buy each Goh Ban Huat share at RM1.40, which was a 2.1 per cent discount to its last traded price of RM1.43 on Tuesday.
The takeover offer came after low-profile tycoon Tan Sri Robert Tan Hua Choon sold his 51 per cent stake in the ceramic products company to Paragon Adventure for RM145.71 million.
Paragon Adventure said, in a filing to Bursa Malaysia yesterday, said the takeover offer includes its warrants, which are priced at 40 sen a piece after having considered the exercise price of RM1 per warrant.
Paragon Adventure intends to maintain Goh Ban Huat’s listing status on Bursa’s main market.
Paragon Adventure is owned by Datuk Seri Edwin Tan with a 65 per cent stake and Datuk Seri Godwin Tan with the remaining 35 per cent.
It is involved in property developments in Johor. This includes semi-detached factories "Bizhub Skudai 8", as well as Paragon Residences, Paragon Suites and Paragon Private and International School which commenced operations in January this year.
For the first quarter ended June 30, 2017, Goh Ban Huat returned to the black, registering a net profit of RM445,000 against a net loss of RM715,000 a year ago. Revenue, however, more than halved to RM4.79 million from RM13.25 million.
As for the full year ended March 31, 2017, its net profit improved to RM1.88 million from RM244,000 recorded in the previous year. Its revenue declined 29.58 per cent to RM37.35 million from RM53.04 million.
Goh Ban Huat is exploring options to grow its sanitaryware and tableware trading segment beyond the domestic market.
“We are exploring some countries which we think we have some competitive edge, like Vietnam,” executive director David Lai reportedly said at a media briefing early this month.