Consistent Record&rsquo s final offer of S$0.78 a share is 8.3% or S$0.06 higher than its initial price

 

[SINGAPORE] Mainboard-listed construction and property developer   Low Keng Huat   : F1E 0% (LKH) is set to be privatised, as the offeror has secured 93.84 per cent of the company&rsquo s total issued share capital as at Monday (Jan 26).

 

This brings the percentage of issued shares held by the public below 10 per cent, which is the minimum required to maintain a listing status.

 

The offeror, Consistent Record &ndash a special-purpose vehicle effectively controlled by managing director Marco Low and his family &ndash made a final offer for LKH shares it did not already own on Jan 13 at S$0.78 apiece. This was 8.3 per cent or S$0.06 higher than its initial offer price.

 

Prior to announcing the offer, Consistent Record held 400.2 million LKH shares, representing 54.2 per cent of the shares. Concert parties held 160.9 million shares, or 21.8 per cent. Collectively, they held about 76 per cent of the shares.

 

After market close on Monday, UOB Kay Hian said Consistent Record had acquired 78 million shares &ndash or 10.6 per cent of LKH&rsquo s share capital &ndash through market purchases since the offer period began.

 

In the latest trading session, the offeror acquired another 136,200 shares, or 0.02 per cent, for S$0.78 each. Valid acceptances tendered by shareholders other than the concert parties made up 7.3 per cent.

 

In December 2025, the majority shareholders of LKH launched a voluntary conditional general offer to take the company private.

Alan Wang of Asdew Acquisitions has on Jan 22 sold his stake of 58,546,000 Low Keng Huat shares at 78 cents, reads a filing to the exchange.

 

The stake sold by Wang on Jan 22 is equivalent to 7.9%.

 

Just on Jan 14, Wang emerged as a substantial shareholder when he paid $33,636,195 for 43,542,000 shares, which works out to 77.25 cents each. Wang was already holding 10,351,000 shares.

 

Low Keng Huat is in the midst of a privatisation offer by its managing director Marco Low Peng Kiat, who had on Jan 14 revised his offer to a " final" price of 78 cents, up from the original 72 cents per share offer tabled last November.

 

As of end of Jan 22, Low and his concerted parties control and have received valid acceptances of shares that brings his stake to 622,318,747 shares, or 92.19%.

 

Wang Yu Huei, also known as Alan Wang, has emerged as a substantial shareholder of Low Keng Huat (Singapore), which is in the midst of a privatisation offer.

 

Wang, who makes his investments via an entity called Asdew Acquisitions, on Jan 14 paid $33,636,195 for 43,542,000 shares, which works out to 77.25 cents each.

 

The former director of Kim Eng Holdings is an active investor of local stocks. He now controls a total of 53,893,500 Low Keng Huat shares, or 7.29%, up from 1.4% previously, reads a Jan 15 filing.

 

Just on Jan 14, an entity controlled by Marco Low Peng Kiat, the company' s managing director, revised its offer to a " final" price of 78 cents, up from the original 72 cents per share offer tabled last November.

 

Low and his concerted parties control a total of 81.53%, including shares tendered by minority shareholders.

 

At 78 cents, it is a cent below the company' s NAV of 79 cents as at July 31, or $580.93 million, but still below the RNAV of $1.26 per share estimated by IFA for the offer Zico Capital.

The counter climbs S$0.035 to S$0.775 as at the mid-day trading break

 

[SINGAPORE] Shares of mainboard-listed construction and property developer Low Keng Huat (LKH) jumped as much as 5.4 per cent after offeror Consistent Record raised its offer price from S$0.72 a share to S$0.78.

 

The counter climbed S$0.035 to S$0.775 as at the mid-day trading break on Wednesday (Jan 14), after ending Tuesday 1.4 per cent up at S$0.735.

 

Consistent Record, a special purpose vehicle effectively controlled by managing director Marco Low and his family, added that the price was final, with no further revisions expected. Low, who plans to delist LKH, currently has a direct and deemed interest of 54 per cent in the company.

 

The closing date for the offer has also been extended to 5.30 pm on Feb 13.

 

The new offer price is higher than the closing prices of Low Keng Huat shares across the past five years, noted Consistent Record.

 

As at 6 pm on Jan 13, the offer had received valid acceptances from concert parties representing 21.8 per cent of shares, and from other shareholders representing 5.6 per cent of shares.

 

Low said that he intended to delist the company to save on compliance costs and gain greater flexibility to manage the business amid a &ldquo challenging macro and operating environment&rdquo . 

Revised offer represents an increase of 8.3% or S$0.06 over the initial offer price

[SINGAPORE] The offerors for Low Keng Huat have raised the offer price for the property developer to S$0.78 a share from S$0.72 a share. 

 

The offeror Consistent Record &ndash a special purpose vehicle effectively controlled by managing director Marco Low and his family &ndash also said the price was final, and that it does not intend to revise it.

 

The closing date for the offer has been extended to 5.30 pm on Feb 13, said a bourse filing on Tuesday (Jan 13).

 

The revised offer price represents an increase of 8.3 per cent or S$0.06 over the initial offer price, and is higher than the highest closing price of Low Keng Huat shares for more than five years, the offeror noted. 

 

Prior to the offer, the offeror held 400.2 million shares, representing 54.2 per cent of shares, in the company. Concert parties held 160.9 million shares, or 21.8 per cent.

 

As at 6 pm on Jan 13, the offer received valid acceptances from concert parties representing 21.8 per cent of shares, and from other shareholders representing 5.6 per cent of shares.

 

This brings the total number of shares owned, controlled, or agreed to be acquired by the offeror to 602.4 million, or 81.5 per cent of total shares.

 

In December 2025, the majority shareholders of Low Keng Huat launched a voluntary conditional general offer to take the mainboard-listed construction and property developer private.

 

In the offer announcement, the offeror noted that the company has no need for access to equity capital markets &ndash it has not raised any funds from the Singapore equity capital markets since a rights issue in 2007.

 

Low said he intended to delist the company to save on compliance costs and gain greater flexibility to manage the business amid a &ldquo challenging macro and operating environment&rdquo .   

Zico Capital, independent financial advisor to the privatisation of Low Keng Huat (Singapore), believes that the 72 cents per share offer is " not fair" but " reasonable" and is recommending shareholders to accept the offer.

 

The offer by the company' s managing director Marco Low Peng Kiat and his mother Seah Soh Seng was tabled on Nov 28 and will close on Jan 14.

 

Low Keng Huat was founded back in 1969 and was listed on March 9 1992. It was a building contractor but is more active in recent years with its property investments, holding assets such as the retail units of Paya Lebar Square.

 

In its opinion issued on Dec 31, Zico Capital notes that the 72 cents per share offer is a 17.07% premium above the last traded price of 61.5 cents before the offer was launched.

 

Low Keng Huat shares, typically thinly-traded, were as low as 30 cents half a year ago.

 

As at July 31, its NAV was $580.93 million, or 79 cents per share.

 

However, when its various properties were revalued, the RNAV would be $1.26, notes Zico Capital.

 

This implies a ratio of 0.57 x, which is within comparables such as Wing Tai Holdings, Bukit Sembawang, Sing Holdings, Tuan Sing Holdings and Oxley Holdings.

 

Zico Capital estimates that the company is valued at between 87 and 89 cents per share, which is higher than the 72 cents offer.

Over the past 16 years, its shares have delivered a total return higher than that of STI, CDL, Hongkong Land and UOL shares

 

[SINGAPORE] The offeror for   Low Keng Huat   : F1E +1.4% (Singapore), or LKHS, stated a number of reasons for shareholders of the property group to consider accepting the S$0.72-per-share deal it put on the table after the market closed on Nov 28. 

 

The most convincing of these might be the assertion that realising profits from the group&rsquo s property assets in the future &ldquo may be irregular, variable and much more time-consuming&rdquo . 

 

Similar to other Singapore-listed real estate groups, LKHS&rsquo revenue and earnings have been volatile over the years. Only a few weeks before the offer was made, the group reported a loss of S$10.2 million for the six months ended Jul 31, versus earnings of S$5.8 million for the same period the previous year, as its revenue sank 85 per cent to S$38.7 million. 

 

The group attributed the weak numbers largely to its Klimt Cairnhill luxury condominium development reaching completion.

 

Along with its peers, LKHS has also experienced its return on equity (ROE) falling over the years. From FY2011 to FY2015, its ROE averaged 22.3 per cent, compared to a paltry 1 per cent from FY2021 to FY2025.

 

Yet, LKHS has not let its long-term shareholders down. During the 15-year period to Nov 28, the group delivered a total return of 201.6 per cent, with dividends reinvested. 

 

By comparison, the Straits Times Index (STI) returned 153.4 per cent on the same basis.   UOL Group   : U14 +0.23% and   Hongkong Land   : H78 +0.61% returned 167.2 per cent and 59.3 per cent, respectively.   City Developments Ltd   : C09 +0.27% (CDL) had a negative total return of 19.7 per cent. 

 

Even during the shorter five-year period to Nov 28, when a number of STI constituents made strong gains on the back of big value-unlocking initiatives, LKHS fared reasonably well. 

 

It returned 90.7 per cent, while the STI returned 98.7 per cent. Hongkong Land, UOL Group and CDL returned 95.1 per cent, 27.3 per cent and 5.4 per cent, respectively.

 

Bold, astute management

How did LKHS manage to achieve such good long-term returns? At least part of the answer may have to do with the astute and bold moves of its management over the years.

 

Back in 2014, for instance, LKHS made headlines with a deal to acquire a stake in Westgate Tower. In 2021, it sold its interest in Westgate Tower and invested further in Paya Lebar Square, in a shift towards retail property.

 

LKHS was also part of a consortium that invested in AXA Tower in 2015. In 2020, the consortium divested a portion of its stake in the property to Alibaba, which unlocked a significant gain for LKHS. 

 

In light of the strong track record of LKHS&rsquo management, the warning from the offeror of a weaker outlook for the company seems odd. The offeror is a Singapore-incorporated special-purpose vehicle called Consistent Record, which is ultimately controlled by LKHS&rsquo own managing director Marco Low and his mother, Seah Soh Seng.

 

While the offeror does not currently hold any shares in LKHS directly, Low has a direct and deemed interest totalling 400.2 million LKHS shares, equivalent to a 54.1 per cent stake in the company.

 

Where does this leave minority shareholders of LKHS? 

 

The offer price of S$0.72 per share is 17.1 per cent higher than LKHS&rsquo closing price on Nov 28, just before the offer was announced. It is also 46.9 per cent above the volume weighted average price of LKHS&rsquo shares over the 36 months to Nov 28. 

 

Yet, LKHS&rsquo net asset value (NAV) as at Jul 31 was S$0.79 per share &ndash or 9.7 per cent above the offer price. Estimates of LKHS&rsquo revalued NAV are significantly higher. 

 

The announcement on Nov 28 also states that the offer is conditional upon the offeror obtaining 90 per cent of the shares in issue, excluding any shares already held by the offeror, its related corporations or their respective nominees. 

 

Watch the free float

For the moment, the most sensible thing for minority investors to do might be to just wait. LKHS closed at S$0.725 on Dec 3, which is not much higher than the current offer price. 

 

An independent financial adviser will be appointed shortly to evaluate the offer. Its opinion could have some bearing on whether the company might be able to seek a voluntary delisting in conjunction with the current offer. 

 

For investors inclined to hold out, however, the main thing to watch out for is whether the offeror and its concert parties manage to acquire more than 90 per cent of LKHS&rsquo shares. Without a free float of at least 10 per cent, trading is likely to be suspended at the close of the offer.

 

Low and his mother are not the only big holders of LKHS shares. For instance, the group&rsquo s executive chairman, Low Keng Boon, owns 52.8 million shares, or 7.2 per cent of the company. 

 

His wife, Lau Choy Lay, has a further 23 million shares, or a 3.1 per cent stake. The estate of the late Low Keng Hoo holds another 52.9 million shares, 7.2 per cent of the company.

 

In fact, LKHS&rsquo most recent annual report said only 23.5 per cent of its shares were in the hands of the public as at Apr 21.

 

On the face of it, acceptances from public investors holding about 100 million shares might be all it will take for the company to lose its free float. At that point, the remaining minorities face the risk of being left in limbo for a long time.

 

The managing director of the company Low Keng Huat, Marco Low Peng Kiat, is making a voluntary conditional general offer for all the shares in the company at 72 cents per share.

 

Low is offering to take his company private through a special purpose vehicle incorporated in Singapore in July, known as Consistency Record. Low and his mother, Seah Soh Seng, each hold 75% and 25% of the shares in Consistency Record.

 

As at the date of this announcement, Consistency Record does not hold any shares in Low Keng Huat. However, Low himself has a direct interest of 300,000 shares or about 0.04% of the total number of shares in the company.

 

Low&rsquo s intention to take the company private is because he is of the view that the company is unlikely to require access to the Singapore equity markets in the foreseeable future, as funding can be met through bank borrowings and other debt financing options.

 

Low also believes that the privatisation will help to save on listing costs, and will enable the company to have more flexibility in navigating the challenging business environment.

 

The offer price of 72 cents represents a premium of 17.1% of the last transacted price of the company, and 8.9% premium over the volume weighted average price per share for the one month period including up to the last trading date.

 

Low Keng Huat was incorporated on the mainboard in 1992, and the principal activities of the company comprise construction, property development, ownership and operation of serviced apartments, a hotel and a restaurant.