| To: Business Editor | For immediate release |
Privatisation of Jardine International Motors Pursued by Jardine Matheson
27th June 2000 -- Jardine Matheson Holdings Limited ('Jardine Matheson') today announced that it has requested that Jardine International Motor Holdings Limited ('Jardine International Motors') put forward a proposal (the 'Proposal') to minority shareholders regarding the privatisation of Jardine International Motors.
The Proposal involves a scheme to cancel all of the issued shares held by the minority shareholders in exchange for some HK$4.295 per share payable in cash. The cancellation price represents a premium of some 72% over the last closing share price of Jardine International Motors on 23rd June 2000 prior to suspension of its trading. The cancellation price for each share comprises HK$4.10 from Jardine Matheson and US?.50 by way of a special dividend from Jardine International Motors.
The announcement was made to the Stock Exchange of Hong Kong Limited, where Jardine International Motors is listed. Jardine Matheson is currently interested in approximately 75% of the issued share capital of Jardine International Motors.
The privatisation proposal has been requested because Jardine Matheson believes that Jardine International Motors will be able to operate more effectively without the complexity and cost of being a stand-alone listed company, given its uncertain business outlook. An agreement with DaimlerChrysler is anticipated shortly, that will result in the end of Jardine International Motors' exclusive wholesale distribution rights for Mercedes-Benz in Hong Kong and Macau, although Jardine International Motors is expected to remain the exclusive retailer in the two territories. In addition, Jardine International Motors also faces ongoing difficulties with its operations in the United Kingdom.
If the proposal is accepted, it is expected that the scheme will become effective on or before 30th September 2000. The total consideration for the Proposal payable by Jardine Matheson is approximately US$63 million, which will be financed from internal resources.
Jardine Matheson is a multinational group of leading businesses focused primarily on the Asia-Pacific Region. Its operations employ some 150,000 people and its activities are leaders in the fields of financial services, supermarkets, consumer marketing, engineering and construction, motor trading, property and hotels. The Group is building its core businesses largely in Asia Pacific with the goal of enhancing shareholder value for the long term.
| For further information, please contact: | |
| Jardine Matheson Limited Neil M McNamara | Tel: (852) 2843 8227 |
| Forrest International Limited | |
| Sue Gourlay | Tel: (852) 2501 7936 |
| © Copyright 1996-2008 irasia.com Ltd. All rights reserved. Tel: (852) 2831-9792. |
|
DISCLAIMER: irasia.com Ltd makes no guarantee as to the accuracy or completeness of any
information provided on this website. Under no circumstances shall irasia.com Ltd be liable
for damages resulting from the use of the information provided on this website.
TRADEMARK & COPYRIGHT: All intellectual property rights subsisting in the contents of this website belong to irasia.com Ltd or have been lawfully licensed to irasia.com Ltd for use on this website. All rights under applicable laws are hereby reserved. Reproduction of this website in whole or in part without the express written permission of irasia.com Ltd is strictly prohibited. TERMS OF USE: Please read the Terms of Use governing the use of our website. |