Hot Stocks Can-One jumps on takeover offer for Kian Joo

by **Cals** Wed 27 Nov 2013, 12:37

Hot Stocks Can-One jumps on takeover offer for Kian Joo

Business & Markets 2013

Written by Zatil Husna of theedgemalaysia.com

Wednesday, 27 November 2013 11:51

KUALA LUMPUR: Can-One Bhd, which owns about 33% in Kian Joo, rose as much as 7.8% in morning trades after Kian Joo Can Factory Bhd receives a takeover offer at RM3.3 per share.

At 11.00 am, Can-One was among the top gainers after rising 27 sen to RM3.73 with some 1.9 million shares done.

Kian Joo also rose 3 sen to RM3.24, with some 1.2 million shares changed hands.

Can-One and Kian Joo resumed trading today after being suspended from trading on Monday.

A dealer told theedgemalaysia.com that the rise in share prices was due to the announcement yesterday that Kian Joo has received an offer from Aspire Insight Sdn Bhd to buy over its entire business, assets and liabilities for RM1.465 billion or RM3.30 per share.

The RM3.30 offer is higher than the net asset per share of Kian Joo, at RM2.29 as at end-September 2013.

The offer, displayed by Kian Joo, states that Aspire Insight’s shareholders are Equiti Merdu Sdn Bhd and Alleyways Sdn Bhd.

Alleyways is majority-owned by Chee Khay Leong, who resigned on Monday as chief operating officer of Can-One Bhd.

“There shouldn’t be any other reasons to the rise in share price other than this,” the dealer said.

Can-One owns 32.9% of shares in Kian Joo, its competitor in the can making business, which in turn owns 54.83% of Box-Pak, a manufacturer of corrugated boxes.

Box-Pak is still suspended from trading.