KUALA LUMPUR (July 5): The takeover bid by the children of businessman Tan Sri Robert Tan Hua Choon for Eurospan Holdings Bhd (KL:EUROSP) has closed, with the offerors increasing their stake in the furniture maker to 73.99%.
The unconditional mandatory takeover offer closed at 5pm on Friday, said Malacca Securities Sdn Bhd in a statement on behalf of the offerors.
The takeover bid was triggered on May 24 when Datuk Seri Tan Han Chuan and his sister Datin Tan Ching Ching increased their shareholdings in Eurospan to 71.8%. They are the children of Hua Choon, widely known as Malaysia's first Casio watch distributor, earning him the ‘Casio king’ moniker.
At the time, Han Chuan acquired 23.5 million shares, representing 52.92% of the total issued shares in the company, for RM39.96 million in cash, or RM1.70 per share, through direct business transactions. This increased his stake from 14.22% to 67.14%. That, coupled with Ching Ching's 4.69% stake in Eurospan, brought the duo's collective shareholding to 71.83%.
The offerors intend to maintain Eurospan’s listing status on the Main Market of Bursa Malaysia.
Eurospan has been in the red over the past two financial years, with a net loss of RM6.13 million for the financial year ended May 31, 2023 (FY2023) and RM4.61 million for FY2022.
For the first nine months of FY2024, the group reported a net profit of RM1.18 million, compared with a net loss of RM3.9 million a year earlier, due to the disposal of properties.
Shares of Eurospan closed up two sen or 1.18% to RM1.72 on Friday, translating into a market capitalisation of RM76.41 million.