In an earlier blog post on Are Investors Short-Changing Themselves Over Privatisation Deals?, I had discussed 3 cases of unsuccessful privatisations and commented that investors who had rejected the privatisation offers had generally fared better than those who had accepted the offers. A search on the internet revealed that there are more unsuccessful privatisations on the Singapore Exchange than initially thought. In this blog post, we will do a more comprehensive study of the outcome of unsuccessful privatisations.

The table below shows the companies that have at least one unsuccessful privatisation and compares the offer price with the current stock price plus all dividends received to-date since the close of the privatisation offer. The table also shows the returns investor would get from rejecting the privatisation offer and holding the shares till today. 2 of the companies (namely CK Tang and Pertama) were eventually successfully privatised and the successful ...