, Singapore

Temasek offers to buy Olam for $5.3b

Olam to remain as a listed company.

According to OSK, Olam have announced that a subsidiary of Temasek Holdings has made a voluntary conditional cash offer for all the ordinary shares in issue in the capital of Olam International Limited for SGD2.23 per share, about 12% above its previous close of SGD1.995.

This will value Olam at SGD5.3b. An offer for the USD500m worth of convertible bonds due 2016 will also be made at SGD1,077.58 for every USD1,000 principal amount of convertible bonds as well. Temasek plans to keep Olam as a listed company and the aim of this move is to increase Temasek's stake in Olam rather than to take it private.  

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