The Simon Lee-chaired Vietnam Industrial Investments Ltd cancelled today's shareholders meeting after being told that investment group Prudential has teamed up with the company's managing director to make a A$17.6 million takeover offer.
Today's shareholders meeting was called to approve the planned sale of VII's main assets: Structure Steel Engineering Pte Ltd and 70 per cent of Vinausteel Ltd.
The on-again off-again sale of the assets has taken several twists and turns, with VII originally planning to sell them to a subsidiary of India's Tata Steel for US$10.8 million (A$13.5 million).
That proposal was bettered by Prudential and Henry Lam Van Hung, the current managing director of VII, who planned to pay US$13.3 million (A$16.6 million) for the assets.
Their lawyers wrote to VII today stating that they planned to make a takeover offer for the entire company, conditional on VII not selling its interest in the two businesses.
The takeover offer will be made by an entity jointly held by Prudential Vietnam Securities Investment Fund Management Company Ltd (which manages and advises on US$1.3 billion in funds) and Mr Lam, who plans to step down from the MD role.
The planned off-market cash offer will be 17 cents per share, valuing the company at A$17.6 million.
