Unisem up 18 sen after resuming trading

PETALING JAYA: Unisem (M) Bhd’s shares rose as much as 6.06% or 18 sen to RM3.15 after resuming trading, on news of a takeover offer by China-based Tianshui Huatian Technology Co Ltd (TSHT) and Tianshui Huatian Electronics Group Co Ltd (TH Group) being in the works.
At 10.48am, the stock was trading at RM3.06 with 8.68 million shares done.
TSHT and TH Group have signed a collaboration agreement with the single largest shareholder of Unisem collectively, chairman John Chia and director Alexander Chia, to start the ball rolling on a plan for the Chinese parties to acquire at most a 75.72% stake in Unisem for RM3.30 a share.
The offer, however, is conditional upon TSHT obtaining the approval of its shareholders to undertake the offer, and the Chinese authorities' go-ahead to undertake the overseas purchase. A formal offer will only be made once these approvals are obtained.
The collaboration agreement signed between TSHT and the father and son duo yesterday was for the duo to participate in the joint offer and to form a strategic partnership for the expansion and development of Unisem's business operations upon completion of the offer.
The offer is conditional upon the joint offerors holding at least 50% of Unisem in aggregate at the end of it.