BANGKOK Thai property developer MBK Properties said it will make a tender offer to buy more shares in Royal Orchid Hotel at 32.30 baht, or approximately $0.74 each. The firm said it would purchase about 42%, or 39.38 million shares of Royal Orchid. MBK said details of the offer would be announced later.
As previously reported by HOTEL BUSINESS, earlier this month, Royal Orchid said a Thai unit of U.S.-based Starwood Hotels & Resorts Worldwide had made a tender offer for all its shares at 29 baht, or approximately $0.66 each between March 12 and April 18. Starwood had already negotiated with the top three major shareholders, who hold a combined 44% of Royal Orchid, to buy their shares and was seeking to buy another 6% to 7% in the market.
The three shareholders are Ital-Thai Holding, Michigan Investment Ltd. and Hong Kong Land. The Starwood offer is still on the table. (3/23/01)
SOURCE:Reuters