OUE's $9.08/share offer for F&N 'not compelling'

But yes, it's fair, says F&N advisers.

According to IG Markets, Fraser & Neave advisers JP Morgan have called OUE’s $9.08 a share offer for the conglomerate “not compelling but fair”.

Here's more from IG Markets:

This is becoming a well-worn phrase for offers for F&N as predators fail to offer shareholders the true value of the company, which sits closer to $9.50 based on current valuations.

While this verdict told F&N shareholders nothing they didn’t already know, JP Morgan did at least upgrade the break-up value of F&N to $8.58 - $11.56 a share. This is probably irrelevant to the likes of Thai tycoon Charoen who has voiced his plans to keep F&N intact should he win the day.

But his latest attempts to grab control of the property and drinks conglomerate fell flat on their face as he failed to acquire another 10% of the company at $9.60 a pop as he grows desperate to seize more than half of the company. This would have only taken him up to 44% even if institutions had sold him their stakes.

However, any transactions at these levels by either party, having already made their low ball offers, will mean we will see a revision upwards to at least that price. This would at least then act as a guide for what to expect in terms of an improved offer in the new year when the latest deadlines come in to view.

F&N could be Charoen’s last game in town and he looks ready to dig deeper into his pockets.

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