With reference to the news dated 10th Nov 2021 of Nordic Group launched an acquisition of Starburst Holdings Limited. The announcement was for Nordic Group to acquire Starburst with a pre-conditional voluntary offer. The offer shall only be triggered when it has satisfied or waived off the pre-condition on or before 10th February 2022. Should the deal go through, the offer will be S$0.238/share in cash to all Starburst Holdings Limited's shareholders.
As a shareholder of Nordic Group since 2014, this piece of news really caught me off guard. Firstly, Starburst Holdings Limited is not a competitor of Nordic Group in term of business. While Nordic Group's business is mainly focused on O&G or O&M sector, Starburst on the other hand is focused on the military related business. Not even a bit of overlap and that really puzzled me about the news. Another concern is the financial impact after the acquisition for Nordic Group....