17 Oct

Somerset Creates More Ways For Its Shareholders To Trade Odd Lots

Somerset Holdings will be making additional arrangements for its shareholders to trade their odd lots once it merges with The Ascott Limited.

If Somerset's proposed merger with Ascott is approved by shareholders at its EGM next week, Somerset shares will be exchanged for Ascott shares in the ratio of 0.93. This will result in Somerset shareholders holding odd lots of Ascott shares.

Somerset has created two separate arrangements for its shareholders with odd lots of Ascott shares. In the first arrangement, shareholders can choose to make up their odd lots into board lots without incurring the brokerage charge for share trading. The second arrangement is intended to improve the liquidity of odd lots of Ascott shares.

In the first arrangement, which is an off-market transaction, Pidemco Land (Somerset's parent company) or its subsidiaries, intends to offer Somerset shareholders the right to purchase from it the necessary number of Ascott shares to round up their odd lots to a board lot.

Somerset shareholders who buy these odd lot Ascott shares from Pidemco will not incur any brokerage charges. The price of the odd lots offered will be based on the average price of Ascott shares over a number of days after the Somerset / Ascott merger comes into effect.

Pidemco plans to extend this offer to all Somerset shareholders as at Somerset's book closure date which is expected to be on December 1.

For example, shareholders who own 1,000 Somerset shares before the merger, will have 930 Ascott shares after the merger. Under the arrangement, they can buy 70 Ascott shares from Pidemco or its subsidiaries to round up their odd lots to a board lot, without having to pay any brokerage charges.

Pidemco currently owns 75.4 per cent of Somerset, and will own 69.2 per cent of Ascott upon completion of its merger with DBS Land.

In the second alternative, Somerset has arranged for four brokers - Phillip Securities Pte Ltd, Vickers Ballas & Co Pte Ltd, Kim Eng Securities (Pte) Ltd and Kay Hian Pte Ltd - to participate in the trading of Ascott odd lot shares on a best effort basis, for a period of 10 market days after the merger becomes effective. This is expected to be from Dec 4 to Dec 15.

The participation by these brokers should help improve the liquidity of odd lots of Ascott shares, and thus facilitate trading for shareholders who choose to buy or sell their odd lots through Singapore Exchange Securities Trading Limited (SGX-ST). However, they would incur the usual brokerage fee.

The details of the two arrangements will be provided to all Somerset shareholders in due course.



Ida Lim, Vice President

Investor Relations & Corporate Communications

Tel: 65867-230

Hp: 9-628-8339

Fax: 62272-220

Tay Cheng Cheng, Assistant Manager

Investor Relations & Corporate Communications

Tel: 65867-231

Pgr: 9-2660-127

Fax: 62272-220


Issued by: Somerset Holdings Limited