United Engineers

[Jamesbond008]

Happy to see more brothers and sisters sending me PM to support involving SGX and SIAS.

How can Roy Tan bully retail shareholders like us, by selling UE shares cheaply to unknown third parties... This corporate bully has to stop.

[Jamesbond008]

UNITED ENGINEERS 2Q PROFIT FALLS 33%, EXPECT DECLINING DIVIDEND MINORITY MAY RAISE MORE QUESTIONS




The financial performance of United Engineers (UE) painted a less-than-rosy picture of the property sector. In the second quarter, revenue dipped 8 percent from $96.2 million to $88.1 million. This can be attributed not only to a weak performance from the property segment but also reflects poorly on the engineering and manufacturing segments as well.

Owing to the above, 2Q net profit attributable to shareholders fell 33% to $7.7 million from $11.4 million a year ago.

Looking at the breakdown revealed that the property development segment suffered a 32 percent fall in revenue &ndash the largest single contributor to the lacklustre performance &ndash while manufacturing, a victim of the trade war, dipped 20 percent. The engineering segment saw a 12 percent decline in revenue.

http://aspire.sharesinv.com/61825/united-engineers-2q-profit-falls-33-expect-declining-dividend-minority-may-raise-more-questions/

[masterleong]

this also used to be a very hot and well promoted stock in this forum
same fate as St******, another value trap gg

[Shiyi]

While St******'s biggest shareholder has almost absolute control of the company,
UE's has not. The second largest shareholder of UE is Oxley boss, who has refused to give up.
There is a better chance for UE's value to be unlocked as the tussle for control heats up.

[cyclone]

Yanlord Land revives $2.60 per share offer to buy over United Engineers

PC Lee
25/10/2019, 5:09pm

SINGAPORE (Oct 25): Yanlord Land Group, the China-based property developer, has made an offer to pay $2.60 for each United Engineers share it does not own.

The deal values UE, one of Singapore's oldest companies with businesses in property and hospitality sectors, at $1.66 billion.

The offer price is at a discount 16.6% discount to UE’s net asset value (NAV) of $3.12 as at June 30.

Wholly-owned subsidiary Yanlord Investment (Singapore) (YIS) made the mandatory offer when it became UE’s largest shareholder at 35.27% after buying over Perennial Real Estate Holdings’ (PREH) and Heng Yue Holdings’ stakes in UE for a total of $229.7 million.

The offer price is the same as that of an earlier unsuccessful takeover attempt in July 2017 by a consortium led by (PREH) and Yanlord. The offer price was at a discount of 13.9% to its then NAV of $3.02.

The offer is conditional upon YIS and concert parties holding more than 50% of the total voting rights at the close of the offer. If the condition is not met by the close of the offer and the offer lapses, YIS will not be able to make another offer for UE for 12 months.

Meanwhile, a chain offer may be triggered for WBL Corporation, a private property development and investment, engineering, manufacturing, and distribution company.

If UE’s share offer becomes unconditional as to acceptances or the offeror acquires statutory control of UE, YIS will also be required to make a mandatory unconditional offer for the rest of the WBL shares, at $2.5947 apiece.

UE privatised WBL in 2014 after a tussle for control with Straits Trading. When Oversea-Chinese Banking Corp divested UE to the Yanlord-Perennial consortium, the latter had to make an offer for WBL and acquired 28.12 million shares at $2.07 each.

Yanlord says it does not plan to delist UE and the acquisition is part of its plans to consolidate its interest in the company and strengthen position in Singapore and China.

More details in https://www.theedgesingapore.com/news/ma...-engineers

See also :
1. https://links.sgx.com/FileOpen/UEL_Manda...eID=583018
2. https://links.sgx.com/FileOpen/Press%20R...eID=583017
3. https://links.sgx.com/FileOpen/Offer%20A...eID=583016

[wonghw12]

Doesn't it seem weird that the offer price for WBL Corporation is quite high while there is no premium offered for the United Engineers shares (in fact Perennial is selling it at a discount to the last traded price)

Is this a plan to lowball the GO for United Engineers (by overpaying for WBL)?

[thinknotleft]

The way I look at it is that Perennial needs to sell its UE stake to get cash. Yanlord don't mind buying over Perennial's stake.

Arising from the purchase, Yanlord needs to make the same offer to minority shareholders, even though Yanlord does not have the intention to privatise UE ("Yanlord is not planning to delist UE").

If Yanlord has no intention to privatise UE, there is no need to have a offer price that is higher than what it is paying Perennial.

[Shiyi]

Yanlord is left with 29.9% of WBL. Eventually, UE is likely to offer to buy out Yanlord's stake in WBL at $2.5947.

[choya]

Oxley team partial accepts and pares down holding to 10.53%
https://links.sgx.com/FileOpen/_Form%203...eID=587491

[choya]

Oxley team fully accepted Yanlord offer for UE.
https://links.sgx.com/1.0.0/corporate-an...d8cca1fd8a