Sias wants Hyflux to hold town hall for PnP holders

The Securities Investors Association (Singapore), or Sias, has invited Hyflux to organise a town hall with retail holders of its preference shares and perpetual securities (PnP) so it can better understand investor concerns.

Sias president and chief executive David Gerald proposed that a town hall be convened between March 11 and 17.

The investor advocacy group and its advisers will then hold small group meetings with the PnP holders to continue discussions with them on Utico's proposed deal, Mr Gerald said.

Sias asked that Hyflux meet all costs for the town hall.

It also suggested that the troubled water treatment firm place $1.5 million in an escrow account for the Sias adviser's fees.

Sias clarified on Thursday that the outstanding fees of its advisers have not been fully paid, and there is no assurance they will be paid as the Utico deal is not guaranteed to complete successfully.

Sias also asked Hyflux to provide, and to request Utico to provide, evidence to "give comfort" to the PnP holders that the deferred payment obligations under the proposed scheme are sufficiently provided for.

This comes after Hyflux said on Wednesday that it had told its lawyers to ask Utico's legal advisers for more financial information on the Utico entities.

Sias noted that PnP holders have not been included in the proposal from potential Hyflux investor Aqua Munda, a Singapore-registered firm.

THE BUSINESS TIMES

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A version of this article appeared in the print edition of The Straits Times on March 07, 2020, with the headline Sias wants Hyflux to hold town hall for PnP holders. Subscribe