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Li & Fung lifts Inchcape offer

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Li & Fung Distribution (LFD) has raised its general offer price for Singapore-listed Inchcape Marketing Services (IMS) by 29.41 per cent to make it more attractive to minority shareholders after receiving a lukewarm initial response.

LFD - an affiliate of Hong Kong-listed Li & Fung - said its offer price would be S$1.10 (about HK$4.94) from $0.85.

However, if it receives at least 90 per cent acceptances, it is prepared to pay an enhanced price of $1.20 per share.

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LFD wants a high take-up to privatise Inchcape, which markets a variety of vehicles, goods and services across Southeast Asia.

In January, LFD signed a provisional agreement with British-based parent Inchcape to buy 63.3 per cent of IMS at 85 cents a share, or $88 million.

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However, this has now lapsed.

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