I am a longstanding shareholder of Great Eastern Holdings (GEH) and also a supporter in the minority investor group led by Mr Ong Chin Woo.

I feel compelled to address the recent unconditional offer made by OCBC, the majority shareholder holding 88.4% of GEH, at $25.60 per share for the remaining stake it does not own.

It is disheartening to note that this offer stands at a considerable discount from GEH's embedded value (EV) of $36.59 as of December 31, 2023. Such a significant deviation raises concerns among shareholders, particularly considering OCBC's established reputation for fairness and its integral role in Singapore's financial sector.

Reflecting on history, OCBC's previous offers in 2004 and 2006, standing at 1.3x and 1.5x EV respectively, showcased a commitment to equitable valuations. Therefore, the current offer of 0.7x EV appears perplexing and inconsistent with past practices.

Moreover, the current offer pales in comparison to recent industry transactions as seen in Table 2 below (Source: The Edge Singapore “Great Eastern’s 20th anniversary puzzler” dated 16 May 2024.

Except for one, the rest of the transactions are considerably more than 1x EV.

In light of this, I respectfully urge OCBC to uphold its legacy of fairness and integrity by reconsidering the offer and aligning it more closely with GEH's EV of $36.59. Such an act will not only reinforce OCBC's position as a leading financial institution but also demonstrate a genuine commitment to the well-being of its longstanding subsidiary and its shareholders.

Sincerely,

Low Kian Chye

Long-term Shareholder, Great Eastern Holdings

* Please sign the petition only if you are Great Eastern or OCBC shareholders