FNN / Thai Bev

FNN / Thai Bev: Thai Bev and its partner, TCC Assets, have triggered an SGX requirement to make a mandatory general offer to buy FNN, after the firms (both controlled by Thai billionaire Charoen Sirivadhanabhakdi) said they now own a combined 30.36% stake in F&N. They will offer $8.88/ sh to buy all the F&N shares they do not already own, valuing FNN at $12.5b. The move could upset Heineken's plans to gain control of F&N's stake in beer maker APB. This comes as sh/h of F&N are set to meet on Sep 28 for a crucial vote to approve Heineken's bid to buy F&N's 40% stake in APB. Recall, last month, the board of F&N had agreed to recommend Heineken's sweetened US$4.5b offer to shareholders. Heineken already owns 42% of APB and a takeover would give it a leg up in its Asian mkt expansion plans. Thai Bev said mentioned that from a financial discipline perspective, it will not incur additional debt or expend any funds to acquire more F&N shares or to make an offer for F&N. Added that, the offer represents an opportunity for F&N shareholders to realise the value of their investment in cash and to make a complete exit from F&N. Adds FNN’s long-established track record and success in its core businesses will be beneficial to the Thai Bev group. Thai Bev group’s $8.88/sh cash offer compares with FNN’s proposed 1/3 capital reduction exercise at $8.50, should Heineken’s offer for APB be accepted.