Aqua Munda commits $208m to Hyflux debt buyout, tender invitation deadline extended

Aqua Munda invited Hyflux's note holders and unsecured creditors to tender offers for their debts to be purchased at a minimum discount of 85 per cent last month.
Aqua Munda invited Hyflux's note holders and unsecured creditors to tender offers for their debts to be purchased at a minimum discount of 85 per cent last month.PHOTO: ST FILE

SINGAPORE - Aqua Munda is committing S$208 million to fund the purchase of debts held by some of Hyflux's creditors as well as other working capital requirements of the water cleaning firm "if so agreed".

Aqua Munda disclosed this in a statement on Saturday (Jan 18).

The firm invited the embattled water treatment firm's note holders and unsecured creditors to tender offers for their debts to be purchased at a minimum discount of 85 per cent last month.

The option to tender is open to holders of Hyflux's 4.25 per cent notes due in 2018, 4.6 per cent notes and 4.2 per cent notes due in 2019, as well as holders of other senior unsecured, trade and contingent debts of the water treatment firm and three of its subsidiaries.

Aqua Munda is extending the invitation expiry date from Jan 23 to Jan 31, it said in the statement.

The company decided to allow more time for tender offers to be submitted "following feedback and requests received" from some creditors and noteholders.

In addition, the deadline for offers to be accepted has been revised to April 3.

Hyflux said in a bourse filing Saturday that it "will make the appropriate announcements as and when there are any further material developments on this matter".

Aqua Munda, which states its registered business activities as the "manufacture of water treatment, waste treatment and oilfield chemicals", is a special-purpose vehicle managed by Rain Asia Pacific.

 

Rain Asia Pacific's fund manager and investment adviser is StormHarbour.

Hyflux, which was given a two-month extension of its debt moratorium in November, is seeking another three-month reprieve at the next court hearing on Jan 29.