CEC, Mitsui make general offer for TPV
HONG KONG Jan 30 (Reuters) - The two major shareholders of TPV Technology Ltd (0903.HK) offered to buy the Hong Kong-based company's remaining shares for HK$5.20 a share after one boosted its stake above a 30 percent threshold requiring it to make a general offer.
If the deal is successful, a unit of China Electronics Corp
(CEC) and Japan's Mitsui & Co (8031.T) would pay approximately HK$5.4 billion ($693 million) and HK$1.2 billion, respectively.
The offer price represents a 6.6 percent premium to the last trading price of TPV, the world's largest contract manufacturer of PC monitors.
State-owned China Electronics Corp has increased its stake in TPV Technology Ltd (0903.HK) above the 30-percent level that would require it to make a general offer for all shares of the world's largest contract computer monitor maker.
A unit of CEC purchased about 9.5 percent of TPV from Philips Electronics (PHG.AS), according to an earlier Philips announcement. That reduced Philips' stake in TPV to about 3 percent from a previous 12.5 percent, Philips said.
CEC previously held about 27.2 percent of TPV, meaning the additional purchase would take its stake up to about 36.7 percent
-- above the 30 percent threshold at which Hong Kong regulations -- above the 30 percent threshold at which Hong Kong regulations require a shareholder to make a general offer for the company.
TPV (TPVH.SI) shares will resume trading on Monday in Hong Kong and Singapore, according to the statement. The shares were suspended on Friday pending the announcement.
They last traded at HK$4.88 before the suspension.
In its statement, Philips said it sold its shares to the unit of CEC, China's biggest electronics group, for net proceeds of about 95 million euro.
TPV also proposed to issue new shares which will dilute Philips remaining shareholding to about 2.69 percent, Philips said in the statement. [nLDE60S0F0]
(Reporting by Don Durfee; Editing by Sanjeev Miglani)
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