(Due to QC rules.....read the pdf on Singapore Housing folder)
7.4 In maintaining the Company’s listing status, the Company incurs additional compliance and associated costs.
The Offeror believes that the privatisation of the Company will provide the Company with greater management flexibility to manage and develop its businesses, optimise the use of resources and facilitate the implementation of any strategic initiatives and/or operational changes.
As stated in the Company's half-year results announcement released on 10 December 2014, “… The Group encounters marked difficulties in marketing and selling the unsold units in its property developments because of the current challenging market environment. If the Group is unable to sell all the unsold units within the time frame required under the Qualifying Certificate conditions issued in respect of its development properties, it would incur additional expenses for the extension of time to sell the unsold units.
As at 31 October 2014, 21 units (of a total 26 units) of Ei8ht Raja remained unsold. Under the Qualifying Certificate issued in respect of Ei8ht Raja, all units must be sold within 2 years from 28 May 2013, the date of the issue of the Temporary Occupation Permit. … Permai Residences should be completed by end of 2015.
The Group would face the same challenges should the current market conditions persist.” The privatisation of the Company would result in the Company being wholly owned by Singapore citizens and better enable it to apply to the relevant Singapore authorities for the cancellation of the Qualifying Certificate and the issue of a clearance certificate under Section 10 of the Residential Property Act (Chapter 274) of Singapore, which will not contain the aforesaid deadline.
VOLUNTARY CONDITIONAL CASH OFFERhttp://infopub.sgx.com/FileOpen/SGXNET_ ... eID=331374