(SINGAPORE) Advance SCT, which engages in global recycling and waste management, has completely sold off its "loss-making and debt-ridden" printed circuit board business for a nominal sum.
The company has sold its 90 per cent stake in SCT Technologies (Kunshan) - which has a negative book value - for $1.
SCT Technologies (Kunshan) is the last of a group of companies in the printed circuit board industry that Advance SCT has sought to divest since 2009.
As part of the deal, the buyers - Mr Wang Jiankang and Mr He Guoyu - will repay 5.2 million yuan of legacy debt to Advance SCT in two tranches.
The first 4.2 million yuan has been paid upon the signing of the agreement, while the remaining 1 million yuan will be due on or before Sept 30.
The printed circuit board industry has seen rapid technological changes, which have resulted in equipment becoming obsolete.
Without further investment, SCT Kunshan "could not keep up with the market and its operations had continued to drain the company's resources", said Advance SCT in a filing to the Singapore Exchange on Wednesday.