Li & Fung in $564 million deal to privatise IDS

Li Fung will take private its affiliate Integrated Distribution Services Group IDS via a scheme of arrangement for an outlay of up to HK$4.4 billion $564 million.

Li Fung intends to privatise IDS through a scheme of arrangement. Consequently, it is offering minority shareholders of IDS a choice of cash or Li Fung shares for all the outstanding shares of IDS. For every IDS share held, the shareholders can choose to receive either HK$21 cash or .585 Li Fung shares. The cash offer of HK$21 per share represents a 36% premium over the closing price of IDS on the Hong Kong Exchange HKEx on August 9, the last...