By Yi Wei Wong
Keppel Corp. (BN4.SG) gained as much as 17% in morning trading, a day after Temasek Holdings offered to take a controlling interest in the company.
The share-price movement added 1.82 billion Singapore dollars (US$1.34 billion) to Keppel's market capitalization. Keppel shares reached a high of S$6.84, which falls below Temasek's offer price.
Temasek on Monday had offered to take an additional 30.55% stake in Keppel at S$7.35 per share.
Margaret Yang, an analyst with CMC Markets, said the gap between the current price and the offer price should narrow in the next few days.
CMC Markets said the current gap is due to investors holding back until Temasek clears the regulatory hurdles needed to complete the deal.
Write to Yi Wei Wong at firstname.lastname@example.org
(END) Dow Jones Newswires
October 21, 2019 21:58 ET (01:58 GMT)Copyright (c) 2019 Dow Jones & Company, Inc.