SJ Investment Holdings Launches Tender Offer for GOLFZON HOLDINGS at 6,700 Won Per Share, Aiming for 36.15% Acquisition and Delisting
SJ Investment Holdings will tender for 15,485,020 common shares of GOLFZON HOLDINGS at 6,700 won per share from June 29 to August 5, 2026, representing a 57.5% premium over the previous closing price of 4,255 won, with the goal of delisting and making the company a wholly owned subsidiary.
Excluded from the offer are 4,212,076 treasury shares and 23,139,722 shares held by largest shareholder Kim Won-il and related party Kim Young-chan. Post-acquisition, the bidder and its affiliates will hold 90.17% of outstanding shares.
The total tender consideration of 105.3 billion won is financed with 25 billion won of self-funds and 80.3 billion won borrowed from NH Investment & Securities at 5.30% interest, collateralized by the acquired shares.
Although GOLFZON HOLDINGS has conducted share buybacks and paid dividends over the past three years, its stock price has declined 53.4% from its 2022 peak, and daily trading volume has plummeted, limiting the benefits of remaining listed.
After the tender offer, the bidder plans to pursue delisting through a share exchange or similar process, providing minority shareholders with opportunities to sell during the subsequent six-month over-the-counter period.
[AI Summary]This tender offer is a going-private transaction by a related party of the largest shareholder, offering a significant premium to minority shareholders but resulting in loss of liquidity and future upside. The bidder's status as a newly formed entity and its high reliance on debt financing introduce execution risk.