Chagala has received an unconditional Cash Offer for its shares on 20 June 2016 from existing shareholder Asian Investment Management Services Limited. The offer price of US$1.55 is at a substantial discount to our previous estimated NAV of the Group of US$3.54. Outstanding litigation against the Group by a member of a concert party which attempted to gain board control two years ago seems to be at the heart of the Offer which may be designed as a way of ending the dispute. The Directors are making no recommendation to shareholders.