Wong Engineering gets takeover offer

PETALING JAYA: High precision component parts maker, Wong Engineering Corporation Bhd (WEC), has been served an unconditional mandatory offer from TNTT Realty Sdn Bhd and persons acting in concert to acquire all its remaining shares for 65 sen, valuing the company at RM59.5 million.
TNTT is a major shareholder of Tiong Nam Logistics Holdings Bhd’s and controlled by the latter’s major shareholder and managing director Ong Yoong Nyock.
In a stock exchange announcement yesterday, WEC said TNTT yesterday acquired 39.42 million shares, or 43.07% stake in the latter for RM25.63 million cash or 65 sen per share.
Following the acquisition, Ong via TNTT increased his shareholding in WEC from nil to RM30.05%, while the collective shareholding and PAC’s increased from 10.49% to 55.56%.
TNTT plans to maintain WEC’s listing status on the Main Market of Bursa Securities. It will also not invoke the provisions of the Capital Markets and Services Act, 2007 to compulsorily acquire any outstanding offer shares for which valid acceptances have not been received.
Ong holds 82.6% or 413,000 shares in TNTT, while his spouse, Yong Kwee Lai holds the remaining 87,000 shares or 17.4%.
WEC said it will hold a board meeting to deliberate on the offer and make an announcement in due course.
The stock has gained 25.96% year to date. Its shares were suspended for an hour between 2.30pm and 3.30pm yesterday pending the announcement. It closed down 0.045 sen or 6.43% at 65.5 sen yesterday, with some 1.77 million shares changing hands.