Insights

Here’s why the iCar Asia (ASX:ICQ) share price is up 41%

The market’s responded well to an acquisition offer posed to iCar Asia.
The post Here’s why the iCar Asia (ASX:ICQ) share price is up 41% appeared first on The Motley Fool Australia. –

Shares in iCar Asia Ltd (ASX: ICQ) are soaring today following news the company’s received an acquisition proposal. Right now, the iCar Asia share price is 41.67% higher than its previous close, with shares in the company trading for 42.5 cents apiece.

Earlier this morning, iCar Asia shares reached 46 cents – a new 52-week high and their highest point since 2016.

iCar Asia develops and operates an internet-based vehicle portal allowing people in Malaysia, Indonesia, and Thailand to buy, sell, and learn about new and used vehicles.

Let’s take a look at the news boosting the iCar Asia share price today.

Acquisition proposal

iCar Asia has announced Carsome Group has submitted a non-binding acquisition proposal to buy all iCar Asia shares it doesn’t already own for 55 cents apiece.

Carsome is a Singapore-based company operating an automotive e-commerce platform in Malaysia, Indonesia, Thailand, and Singapore.

At 55 cents per share, Carsome has valued iCar Asia at around $243 million.

iCar Asia had a market capitalisation of approximately $132.5 million as of market close yesterday.

Initially, Carsome will buy 89.4 million iCar Asia shares – approximately 19.9% of all outstanding shares in the company – from digital investment group Catcha. Carsome will pay Catcha will newly issued Carsome shares.

Additionally, a joint bid agreement will see Catcha’s remaining stake in iCar Asia transferred to Carsome. Once again, Carsome will pay Catcha with newly issued shares.

The acquisition proposal faces several conditions, including receiving joint bid relief from the Australian Securities and Investments Commission, the finalisation of Carsome’s financing agreements, and iCar shareholder and court approval.

iCar Asia share price snapshot

Today’s gains have put the iCar Asia share price back in the green.

It’s now gained 16% year to date. It is also 43% higher than it was this time last year.

The company has around 441 million shares outstanding

The post Here’s why the iCar Asia (ASX:ICQ) share price is up 41% appeared first on The Motley Fool Australia.

Should you invest $1,000 in iCar Asia right now?

Before you consider iCar Asia, you’ll want to hear this.

Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and iCar Asia wasn’t one of them.

The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

*Returns as of May 24th 2021

More reading

Article Correction – iCar Asia (ASX:ICQ)

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;


To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.


An active and funded account with a positive trading balance is required to continue to have access to the tools;


Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;


Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!