Ostem Implant Second Tender Offer Success... Acquires 96.1% Stake

by Park Soyeon

Published 12 Apr.2023 14:10(KST)

Updated 21 Jul.2023 13:56(KST)

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Dentistry Investment, the major shareholder of Osstem Implant, succeeded in the second tender offer, securing a 96.1% stake based on the total issued shares (including treasury shares). Accordingly, Osstem Implant is expected to proceed with delisting.

According to NH Investment & Securities, the agent for the tender offer, 1,045,663 shares were subscribed in the second tender offer of Osstem Implant, which closed at 3 p.m. on the 11th, allowing Dentistry Investment to additionally secure a 6.71% stake based on the total issued shares.

Following the first tender offer completed on February 28, Dentistry Investment had secured 10,038,385 shares, holding a 64.45% stake. Combining this with 2,943,718 shares (18.90%) owned by Chairman Choi Kyu-ok, a special related party, and the company’s treasury shares of 939,469 (6.03%), a total stake of 96.1% was secured.

With the combined stake of the tender offeror and special related parties, including treasury shares, reaching 96.1%, which exceeds the 95% threshold for delisting from the KOSPI market, Osstem Implant is expected to voluntarily apply for delisting from the Korea Exchange soon without additional tender offers or on-market purchases.

Dentistry Investment is a special purpose company established by MBK Partners and UCK Partners for the purpose of acquiring management rights of Osstem Implant. The second tender offer began on the 22nd of last month.

At that time, Dentistry Investment explained that due to the first tender offer, the floating shares of Osstem Implant accounted for only one-tenth of the total issued shares, posing risks of high volatility and difficulty in finding buyers and sellers. Therefore, to protect investors, they conducted the tender offer again at the same price of 190,000 KRW per share.

Once delisting is decided, Dentistry Investment is expected to purchase the remaining shares through methods such as organized trading within the delisting process.