SINGAPORE--Fraser & Neave Ltd. (F99.SG) has appointed J.P.
Morgan to advise on a $10.6 billion takeover offer from Overseas
Union Enterprise Ltd. (LJ3.SG).
Fraser & Neave's independent directors will issue a
recommendation on the bid to shareholders by Dec. 20, after
receiving advice from J.P. Morgan, the company said in a statement
late Wednesday.
OUE is a Singapore-based property developer owned by Indonesia's
Riady family. It is offering 9.08 Singapore dollars ($7.44) for
each Fraser & Neave share it doesn't own, topping the
S$8.88/share offer by companies linked to Thai tycoon Charoen
Sirivadhanabhakdi.
Fraser & Neave is a Singaporean real-estate and soft-drinks
company, which recently parted ways with its most visible asset--a
joint venture with Heineken N.V. (HEIA.AE) brewing Tiger beer.
Mr. Charoen owns about 34.7% of Fraser & Neave through
entities Thai Beverage PCL (Y92.SG) and unlisted TCC Assets. His
offer expires Jan. 2.
OUE is making its offer with investment funds and accounts
managed by Farallon Capital Management LLC and Noonday Global
Management Ltd. It also has the support of Japan's Kirin Holdings
Co. (2503.TO), the second-largest shareholder in Fraser & Neave
with a 14.77% stake.
OUE and its partners hold a 14.81% stake. Their offer expires
Jan. 3.
Write to Chun Han Wong at chunhan.wong@dowjones.com
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