SembCorp Industries

The offer for Cascal shares closed yesterday, with SCI receiving 92.3% acceptances. Total consideration is US$192m based on US$6.75/sh. SCI will proceed with delisting of Cascal shares, and make a subsequent offer for remaining shares at the same price. If SCI manages to get above 95% interest, it would effect squeeze-out proceedings and take Cascal private. This transaction is expected to be accretive to SCI's earnings starting from the second year of acquisition.