Company Briefs : Hyflux

Hyflux

Debt-ridden water treatment company Hyflux would see additional equity injection of $23 million from Mitsubishi Heavy Industries (MHI) into the TuasOne waste-to-energy project if the two parties enter into a binding agreement by the end of this month.

WongPartnership lawyer Manoj Sandrasegara was updating the Singapore High Court on its insolvent client Hyflux's developments in yesterday's case conference.

Hyflux and subsidiary Hydrochem last month signed a non-binding term sheet, the precursor to a definitive agreement for MHI to pump more money into the TuasOne plant - if the agreement is signed by Jan 31. The deal would allow Hyflux and MHI to discuss with TuasOne lenders changes to the project finance deals to allow funding to continue.

MHI owns 25 per cent in the project and is also a sub-contractor of Hydrochem.

Hyflux, which has an extension of its debt moratorium till end-April, has also embarked on cost-cutting measures, including returning one of its buildings to landlord Ascendas Reit, and is in talks to right-size two buildings, in Bendemeer Road and Tuas South Lane.

Meanwhile, Hyflux will meet its investors and other securities holders this week in a town hall facilitated and moderated by the Securities Investors Association (Singapore).


Kimly

Catalist-listed coffeeshop operator Kimly is seeking the re-election of executive chairman Lim Hee Liat - who is under probe by the Monetary Authority of Singapore and the Commercial Affairs Department - at an upcoming annual general meeting (AGM).

Upon re-election, Mr Lim would remain executive chairman, the AGM notice said.

Kimly is being probed by the authorities over a controversial purchase of a drinks firm, Asian Story Corporation (ASC), that was later aborted. In November, the company revealed that Mr Lim and executive director Chia Cher Khiang are under investigation for allegedly flouting the Securities and Futures Act. Both were arrested and later released on bail.

Kimly cancelled its purchase of ASC, which it bought from former Pokka Corp employee Wang Chia Ye for $16 million in cash in July. Kimly said it decided to cancel the deal after food and drinks maker Pokka Corp gave a six-month notice on Nov 22 to terminate its manufacturing agreement with ASC.

The AGM and an extraordinary general meeting (EGM) will both be held on Jan 30 at The Grassroots' Club. Shareholders will vote at the EGM on the renewal of its share buyback mandate and the renewal of shareholders' mandate for interested person transactions.

A version of this article appeared in the print edition of The Straits Times on January 15, 2019, with the headline 'Company Briefs'. Print Edition | Subscribe