25 Oct
2000

Somerset Receives The Go-Ahead From Its Shareholders To Merge With Ascott

Singapore, October 25 -- Somerset Holdings' shareholders gave the company the green light today for their proposed merger with The Ascott Limited.

At the Somerset Court Meeting and Extraordinary General Meeting held this afternoon at the Capital Tower auditorium, the results of the voting by poll were:

At the Court Meeting, 96% voted in favour of the Scheme of Arrangement for the merger

At the EGM, 96% voted in favour of the special resolution to approve and give effect to the Scheme.

The chairman for Somerset Holdings, Mr Lim Chin Beng, said: "We are delighted with the support from our shareholders for the merger, and their endorsement of our strategy to focus on becoming a global serviced residence player.

"We appreciate our shareholders' confidence in the proposed board of directors and management as we move forward to re-structure the company. The merged company will be well-positioned to expand internationally and to compete successfully for profitability and growth in the international arena.

"Our priority now is to work to achieve the merger benefits and goals, and to deliver improved financial performance."

The merger will create Asia Pacific's largest serviced residence company. The combined entity will have over 6,400 serviced residence units in 16 cities in 10 countries and a global reach spanning from Auckland, New Zealand to London, United Kingdom.

Under the Scheme of Arrangement for the merger, Somerset will become a wholly-owned subsidiary of Ascott and each Somerset share will be exchanged for 0.93 Ascott share. When the merger becomes effective, which is expected to be on December 2, Ascott shares (including the new Ascott shares to be issued to existing Somerset shareholders) will remain listed on the SGX-ST, and Somerset shares will be delisted.

Somerset is the publicly-listed serviced residence and retail subsidiary of Pidemco Land while Ascott is a publicly-listed associated company of DBS Land.
 


 

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