SMRT has received an offer of privatisation from state-owned investment holding company Temasek Holdings. Belford Investments, a wholly-owned subsidiary of Temasek, is offering $1.68 in cash for each share, representing a 9.1% upside to SMRT’s last traded price of $1.54 on July 15. With an outstanding issued share capital of about 1.53 billion shares, the offer price values SMRT at about $2.6 billion. As Temasek already owns some 54% of SMRT, the takeover would cost it nearly $1.2 billion. “Privatisation will provide SMRT with greater flexibility to focus on its primary role of delivering safe and high-quality rail service, without short-term pressures of being a listed company, in the midst of its transition to a new regulatory framework under the New Rail Financing Framework,” say SMRT and Temasek in a joint filing. There will be no special dividend arising from sale as net proceeds ......