Balram Chainrai has "checked-in" to Rodon Hotel, acquiring 2.67% of its shares

Foreign investor Balram Chainrai has checked-in to the Rodon Hotel And Resort by acquiring 2.67% of the share capital of the hotel's ownership company Agros Development Company “Progress” Public Ltd.

As announced on the Cyprus Stock Exchange, Balram Chainrai on 20 December purchased 95,974 shares of the company, which represent approximately 2.67% of Agros' issued share capital, at a price of €3 per share.

With this acquisition, Balram Chainrai now directly owns 95,974 shares representing approximately 2.67% of the issued share capital and voting rights of Agros.

Ready to submit a public offer

It is recalled that Balram Chainrai on 10 December announced his final decision to conduct a voluntary public offer to acquire up to 100% of the issued share capital of the Agros Development Company “Progress” Public Ltd, owner of the Rodon hotel.

According to what was announced through the CSE, the public offer is not subject to any conditions, but in order to be successful, remuneration must be received for a percentage of securities that provide the offeror with a percentage exceeding 50% of the voting rights of the company being acquired. In the event that the public offer is not successful, the offeror is not entitled to accept any lower percentage of remuneration.

It is also reported that upon completion of the due diligence checks, the proposed consideration for the acquisition of the shares of the company under acquisition has been set at €3 per share and will be paid in cash to shareholders who accept the public offer.

The offeror will make all necessary arrangements with a credit institution in Cyprus to ensure the payment of the consideration to the shareholders of the company who will accept the public offer.

The full details and information about the public offer will be included in the public offer document, which will be prepared in accordance with the provisions of the law and the directive of the Cyprus Securities and Exchange Commission, regarding the content of the public offer document.

In which case will the squeeze out not take place?

The public offer is subject to approval of the document by the CySEC, which was expected to be submitted to the Commission within 12 working days of the announcement of 10 December.

It is also clarified that, in the event that upon the expiration of the public offer, the offeror acquires more than 90% of the issued share capital of the company under acquisition and if the conditions of article 36 of the law apply, it does not intend to exercise the squeeze out right and will not require the transfer of the remaining shares of the company under acquisition.

Finally, it is noted that Prudens Limited acts as a public offer advisor to the offeror within the framework and for the purposes of the public offer process.

Furthermore, following an announcement dated December 10, 2024, regarding the formulation of a public offer to the shareholders of the company Agros Development Company “Progress” Public Ltd by Balram Chainrai, the Cyprus Stock Exchange announced, in accordance with paragraph 2.3.9 of R.D. 409/2006 (as amended), that it will proceed with an upward expansion of the fluctuation limits, so that it is possible to carry out transactions at the price announced by the offeror.

(Source: InBusinessNews)