New Hyflux investor to engage with PNP holders 'as soon as practicable'

Aqua Munda says it is still focusing on launching its invitation for Hyflux's note holders and unsecured creditors to tender their debts for it to purchase. It intends to engage with holders of perpetual securities and preference shares (PNP) "as soo
Aqua Munda says it is still focusing on launching its invitation for Hyflux's note holders and unsecured creditors to tender their debts for it to purchase. It intends to engage with holders of perpetual securities and preference shares (PNP) "as soon as practicable after the close of the invitation". ST FILE PHOTO

Aqua Munda has poured cold water on the hopes of Hyflux's perpetual securities and preference shares (PNP) holders - for now.

The potential investor yesterday said it had received queries from some PNP holders about whether it would table any proposal for their consideration.

However, it is still focusing on launching its invitation for Hyflux's note holders and unsecured creditors to tender their debts for it to purchase, Aqua Munda said in a press statement.

"We intend to engage with PNP holders through the Securities Investors Association (Singapore) and its advisers as soon as practicable after the close of the invitation," the Singapore-registered firm added.

If successful, its proposed purchase of about $1.8 billion in notes and unsecured debt is meant to facilitate, on an expedited basis, a restructuring that is fair and equitable to all stakeholders, the company said yesterday.

"We would like to assure PNP holders and shareholders as well as other stakeholders (including the eligible creditors) that we are aware of the tight timelines and the pressure on Hyflux to undertake and complete its debt restructuring exercise."

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

Aqua Munda added an unexpected fresh gurgle to the Hyflux saga last week, when it floated a proposal to buy out the beleaguered water treatment company's 4.25 per cent notes due last year, its 4.6 per cent notes and 4.2 per cent notes due this year, as well as other senior unsecured, trade and contingent debt of Hyflux and three of its subsidiaries.

THE BUSINESS TIMES

A version of this article appeared in the print edition of The Straits Times on December 24, 2019, with the headline 'New Hyflux investor to engage with PNP holders 'as soon as practicable''. Print Edition | Subscribe