HK Stock Market Move | RIMBACO (01953) resumed trading and fell by more than 15%. The offeror offered a discount of about 74.3% to purchase all the shares.

RIMBACO (01953) resumed trading this morning with a drop of more than 15%, falling by 15.38% to HKD 0.55 as of the time of writing, with a trading volume of 29.5337 million Hong Kong dollars. On the news front, on the evening of April 24, RIMBACO announced that the offeror Aureole Halo Limited has agreed to purchase 9.45 billion shares from the sellers, representing 75% of the total issued capital, for a total cash consideration of 157.5 million Hong Kong dollars. Subsequently, after completion, the offeror will hold 75% of the total issued capital, and will therefore need to make a mandatory unconditional cash offer for all issued shares at a cash offer price of HKD 0.167 per share, representing a discount of approximately 74.3% compared to the closing price of HKD 0.65 per share on April 10. The offeror intends to maintain the listing status of the shares on the Stock Exchange of Hong Kong after the offer deadline. The offeror is a wholly-owned subsidiary of Cheng Tun (Singapore) Holdings Pte. Ltd, which is fully owned by the Shengtun Group. The sellers are RBC Venture Limited, with beneficial ownership of 40%, 30%, 20%, and 10% by Low Seah Sun, Seah Peet Hwah, Cheang Wye Keong, and Lau Ah Cheng, respectively.