SINGAPORE Jan 2 Thai billionaire Charoen
Sirivadhanabhakdi extended his $7.2 billion offer to take over
Singapore property and drinks conglomerate Fraser and Neave Ltd
(F&N) for the fifth time until Jan. 10.
Charoen owns a combined 33.6 percent of F&N through Thai
Beverage PCL and TCC Assets Ltd, and is trying to
increase his stake in F&N to more than 50 percent to foil a
rival bid by a group led by Singapore-listed Overseas Union
The consortium made a S$13.1 billion ($10.7 billion), or
S$9.08 per share, counterbid for F&N in November, higher than
the Thais' S$8.88 offer in September to acquire F&N shares that
they did not already own.
Last month, Charoen tried and failed to purchase an
additional stake of 10 percent after offering S$9.60 per share
to funds, sources said.
The Overseas Union-led group had set a Jan. 3 deadline for
its offer. It is expected to extend its offer to as long as the
fourth week of January, a source with direct knowledge of the
matter said, declining to be identified because the matter was
Overseas Union's chairman Stephen Riady is also the
president of Indonesia's Lippo group of companies.
Kirin Holdings Co Ltd, F&N's second-biggest
shareholder with a stake of around 14.8 percent, has given its
conditional support to the Overseas Union group. The Japanese
brewer will offer to buy F&N's food and beverage business for
S$2.7 billion if the group's bid is successful.
F&N's independent financial advisor J.P.Morgan had said both
the offers from Charoen and the Overseas Union group were "not
compelling." The bank deemed Kirin's offer for F&N's food and
beverage business as "fair but not reasonable," F&N said on Dec.
F&N shares have been trading above both offer prices with
the market expecting a higher offer. The stock has risen nearly
6 percent since the Overseas Union group announced its
counterbid, closing at S$9.67 on Wednesday before the Thais'
($1 = 1.2215 Singapore dollars)
(Reporting by Eveline Danubrata and Saeed Azhar; Editing by