The real estate company said that TIPP would procure a special purpose vehicle that would make a voluntary unconditional offer to acquire all the shares of the company for cash at a price of US$2.15 per share.
Chagala specified that TIPP has not agreed to make the offer itself but instead had agreed to procure the SPV that would then make the offer.
The firm added that the offer constituted a “significantly higher” price than that offered by Asian Investment Management Services (AIMS), who offered to purchase the company for US$1.55 per share on 20 June.
Chagala advised that, given this information, shareholders should not accept the AIMS offer and instead to await an offer from the TIPP special purpose vehicle.
The firm added that the completion of the transaction would constitute a full settlement of all claims arising from the proceedings and that the parties were in the process of negotiating a more extensive agreement and taking steps to satisfy the conditions and perform other tasks which must be completed before any offer can be made.