Temask Holdings is likely to make an offer to buy over SMRT

Singapore investment firm Temasek Holdings is likely to make an offer to buy over and take rail and bus operator SMRT private, sources close to the deal said. The offer could be made as soon as this week.

Temasek owns 54 percent of SMRT, which is listed on the Singapore Exchange and is is valued at close to S$2.4 billion. Last Friday, the government announced that it will take over all operating assets of the North-South, East-West and Circle lines, as well as the Bukit Panjang LRT Line, from SMRT for S$1.06 billion. This is the net book value - or current value - of the assets, plus GST.

Said Temasek spokesman Stephen Forshaw, "We don't comment on market speculation or rumors." An SMRT spokesman did not reply to calls. A trading halt of SMRT's shares was called last Friday. SMRT said at close to noon on Monday that it is continuing its trading halt pending a possible announcement. Bloomberg had earlier on Monday reported that Temasek was considering a buyout offer for SMRT.