ThaiBev seeks to delist Oishi amidst restructuring of food business
The food and beverage firm said there has not been much trading volume for Oishi.
Oishi Group will be terminated from the Stock Exchange of Thailand as its parent firm, SGX-listed company ThaiBev, conducts restructuring in its food and non-alcoholic business.
In a bourse filing, ThaiBev announced that it greenlighted the plan to tender offer of all over 76 million shares of its subsidiary, which accounts for 20.34% of the total paid-up shares in Oishi. The Oishi Group was acquired by ThaiBev in 2008, and has since helped expand the Thailand food and beverage firm’s businesses.
“The tender price of THB59 per Oishi share was determined in compliance with the relevant regulations of the Thai Securities and Exchange Commission,” read the statement.
Since there is not much of trading volume for Oishi, ThaiBev said delisting Oishi will open opportunities to secure Oishi shares from other shareholders of Oishi and allow Oishi shareholders to divest their shares to other to ThaiBev.
ThaiBev also explained that delisting Oishi will raise flexibility in managing its business.
The delisting will also provide cost savings for ThaiBev. Despite delisting, Oishi will retain its status as a public limited firm.