Millennium Global Holdings Inc. said Tuesday it canceled plans to take over problematic agriculture company Calata Corp. The move will leave Calata without a ‘white knight’ that could save the company from possible delisting from the Philippine Stock Exchange. Monzon said PSE offered to allow Calata to conduct voluntary delisting instead of involuntary delisting on the condition that it would conduct a tender offer to small shareholders. The proposal was also rejected by Calata, saying a tender offer could “kill the company” because it had no sufficient retained earnings to fund the tender offer. Calata said it had only P400 million in retained earnings and would need at least P1 billion to finance the tender offer.

Source: The Standard October 24, 2017 14:15 UTC