RAK-based Utico to infuse Dh1b in Singapore firmhttps://gulfnews.com/business/banking/rak-based-utico-to-infuse-dh1b-in-singapore-firm-1.63897740
From Gulf News, utico has IWPP plants.
RAK-based Utico to infuse Dh1b in Singapore firm
DUBAI: Utico, a Ras Al Khaimah-based Water Management Solutions company, said on Sunday it has entered into binding agreement to give $400 million Singapore dollars (Dh1.08 billion) to Hyflux for a quick turnaround of the company.
The agreement includes interim funding possibility as well as engagement with Public Utilities Board (PUB) and retail investors to strike out a win-win deal, Utico said in an emailed statement.
“Both Utico and Hyflux being in the water industry there is tremendous synergy we could jointly leverage in turn positively impacting onward business operations,” Richard Menezes, managing director of Utico, told Gulf News.
He stated that the deal should satisfy the stakeholders of Hyflux and of Utico and for that a full and final interaction with full force is needed failing which a May 28 deadline for the deal signature and May 29 hearing for getting extended moratorium looks highly unlikely.
The statement said that “this deal has come to this stage after the last white knight investors, SIM of Indonesia, walked off the transaction without a deal after having spent over six months trying to close out an agreement.” It is also highly likely that Utico could in fact strike this deal as the only water player to have made an offer for Hyflux. Utico also brings with it strategic and valuable Middle East success stories.
Utico stated that other prospective suitors are funds and not major water players, meaning their focus is mainly financial and they are eyeing the assets of Hyflux as a possible position which may not suit other stakeholders like retail investors and including clients and off takers.
Utico owns and operates three facilities in Ras Al Khaimah and Abu Dhabi with a desalination ownership capacity of potable water and it also has power generation capacity.
Hyflux has cash to last 2-3 months, says founder Olivia Lumhttps://www.straitstimes.com/business/hyflux-has-cash-to-last-2-3-months-says-founder
Hyflux has cash to last 2-3 months, says founder Olivia Lum
https://www.reuters.com/article/us-utico-hyflux-investment/uaes-utico-submits-binding-offer-to-invest-in-hyflux-ceo-idUSKCN1SI08E
MAY 12, 2019 / 7:40 PM / UPDATED AN HOUR AGO
UAE's Utico submits binding offer to invest in Singapore's Hyflux: CEO
Stanley Carvalho
2 MIN READ
ABU DHABI (Reuters) - Utico FZC has submitted a binding offer to invest S$400 million ($294 million) in Singapore’s indebted water treatment firm Hyflux Ltd, the chief executive of the United Arab Emirates-based utility said on Sunday.
Utico had submitted a non-binding letter of intent this month to invest in the Singaporean firm.
Utico would provide working capital and any urgent interim funding to Hyflux as part of the offer, Richard Menezes said.
Once lauded as a national champion running a strategically important water source for the city-state, Hyflux is now under a court-supervised restructuring process that could wipe out the holdings of tens of thousands of retail investors.
Menezes told Reuters his firm would engage with Singapore’s water agency PUB and retail investors in Hyflux.
“We submitted the binding term sheet last week. We are looking for the right deal that provides all stakeholders a satisfactory position in the company,” he said.
Hyflux did not immediately respond to a request for comment outside business hours.
On Tuesday, the Singapore High Court prevented a group of banks from being carved out of Hyflux’s debt moratorium to file an application to have Hyflux placed under judicial management.
The court also granted Hyflux a five-day extension on its debt moratorium, originally set for May 24.
Hyflux said on Friday it received another non-binding letter of intent for investment worth S$500 million in the group from Oyster Bay Fund Ltd.
Means endgame double confirmed
http://infopub.sgx.com/FileOpen/Announcement - 15 May 2019.ashx?App=Announcement&FileID=559642
UPDATES ON REORGANISATION PROCESS – RECEIPT OF NON-BINDING LETTER OF INTEREST FOR ACQUISITION OF SPECIFIED ASSETS
Hyflux Ltd. (the “Company”, and together with its subsidiaries, the “Group”) refers to its ongoing court supervised reorganisation process and announcements on 25 April 2019, 3 May 2019 and 10 May 2019 in relation to receipt by the Company of non-binding letters of intent from potential investors.
The Company has received a non-binding letter of interest from a potential investor (the “Investor”) stating its intention to acquire certain of the Company’s assets in Algeria and Oman, as well as other assets in the Middle East and North Africa region (the “Proposed Transaction”). The Investor’s interest also includes the operation and maintenance activities relating to these assets.
The Company understands that the Investor is one of the top 10 largest desalination companies globally. The Investor is a subsidiary of one of the world’s leading infrastructure companies which is highly ranked for its expertise in transportation and greenfield infrastructure with a presence and workforce spanning 5 continents. The Investor is a specialist in engineering, construction, operation and maintenance of water treatment facilities, in particular water desalination plants, with a focus on build-own-operate-transfer, management of concessions and related services. The Investor intends the Proposed Transaction to grow its portfolio of desalination plants.
The Proposed Transaction is subject to regulatory clearance, due diligence and the execution of a binding agreement with terms to be mutually agreed. The Investor is conscious of the timeline and has indicated that it would be willing to devote all necessary resources to ensure that the due diligence process and the consummation of the Proposed Transaction (if any) are carried out in the shortest possible timeframe.
While the Company will consider all serious offers and expressions of interest received, the priority remains for a strategic investor for the entire Group. The Company is continuing its engagement with all potential investors and will make the appropriate announcements as and when there are any further material developments on the above matter.
Latest breaking news. OK I realize I am a bit slow.
Hyflux saga: Maybank to take over Tuaspring power plant, PUB to take over Tuaspring water desalination plant
https://www.theonlinecitizen.com/20...take-over-tuaspring-water-desalination-plant/
Is this fake news?
I never hear a company lose a "good" major asset, suddenly become more attractive..
First time I hear.
I never hear a company lose a "good" major asset, suddenly become more attractive..
First time I hear.
I am of the same opinion as well. Hyflux retail investors are complaining about inadequate protection because there is high chances they will be wiped out.
If retail investors were not allowed to purchase perfs and perps, etc, the narrative would be different. It will be retail investors are denied high returns instruments, elite enriching elite, etc.
However, after monitoring the TG group, I have notice that some (at least one who don’t understand English well and has been relying on Google translate) are not financially literate and some who are spouting nonsense.
imo, the middle ground could be for investors to take a basic course (like what phv drivers are doing). I know that it cannot and will not be able to train everthing an investor needs to know. But basic stuff of investing like risk, they can and will be wiped out, never put all eggs into a basket, do not invest what you cannot afford to lose, etc.
This from the Telegram Chat today, just shows that if this Hyflux bonds are offered to Accredited Investors only, this group of people will be complaining that it is not made available to retail investors... Previously they called Hyflux a "Blue Chip" and "water is essential for Singapore survival"...