Bloomberg/Ore Huiying

HALAL BUSINESS

Singapore's Hyflux secures SGD 400 million rescue package from Utico

SHARE THIS ARTICLE
The agreement comes after debt-laden Hyflux—once lauded as a national champion running a strategically important water source for the city-state—entered a court-supervised restructuring process this year that threatened to wipe out the holdings of tens of thousands of retail investors.
TUESDAY 26, NOVEMBER 2019

Singapore-based Hyflux, the embattled water treatment firm has secured a restructuring deal worth SGD 400 million ($293 million) from UAE-based utility Utico, reported Bloomberg.

In a statement, Hyflux said that the deal will see Utico subscribe to SGD 300 million in Hyflux shares, giving the utilities firm a 95 per cent stake and inject working capital of SDG 100 million.

Hyflux, Singapore’s highest-profile debt restructuring, had been looking for an investor after a deal with Indonesian consortium SM Investments fell through in April 2019—a catastrophic slump that stunned 34,000 individual investors and prompted a rare public protest in the country.

Under the proposed terms of the court-approved restructuring, SDG 250 million is to be paid to the unsecured debt holders. Perpetual and preference shareholders can opt for an upfront cash payment or payment in instalments.

 

TAGS: SM Investments Hyflux Utico
Print Friendly Version


RECOMMENDED NEWS


BRANDS MAGAZINES LATEST EDITION


CPI Financial was established in Dubai in 1999 to meet the needs of an ever-expanding financial community, offering a comprehensive portfolio of market-leading products and services tailor-made for the banking and financial services sectors.


Subscribe to our News Letter

Subscribe

© 2018 CPI Financial. All rights reserved.

No part of this website may be reproduced or used in any form of advertising without prior permission in writing from the editor.