Company Briefs: Hyflux

Hyflux

Hyflux said yesterday that it has received an additional month from secured lender Maybank to divest the Tuaspring integrated water and power plant.

Maybank is giving Hyflux until Feb 28 to execute a binding agreement with a successful bidder or investor, an extension of the Oct 29, 2018 deadline earlier agreed upon.

Maybank can terminate the collaboration deal if the new deadline is breached.

Hong Fok Corp

Property developer Hong Fok Corp (HFC) yesterday said its 42.33 per cent unlisted associate company, Hong Fok Land International (HFL), plans to buy back all of its own shares at 55 Hong Kong cents each.

HFC has undertaken not to accept the share buyback offer for any of the HFL shares, which means its interest in HFL may increase to more than 50 per cent after the buyback, in which case HFC will become a holding company of HFL. HFC will seek a whitewash waiver to avoid having to make a general offer for HFL if that happens.

HFL has 1.49 billion shares outstanding. Excluding HFC's 631.72 million HFL shares, that could put the total bill for the buyback at about HK$473.38 million (S$81.6 million) if every other HFL shareholder accepts the buyback. HFL will finance the consideration payable for the share buyback offer using a loan facility.

The share buyback offer will be conditional upon approval by at least 75 per cent of HFL's independent shareholders for the buyback offer and the whitewash waiver. The buyback offer must not be rejected by more than 10 per cent of independent votes cast. HFL also has an approximately 20.4 per cent stake in HFC.

Ezion Holdings

Offshore and marine company Ezion Holdings is expecting a fourth-quarter and full-year 2018 net loss amid uncertainty over whether its joint ventures can repay shareholder loans.

The liftboat company is also expecting a "significant decrease" in net asset value due to a review in the fair value of its vessels.

As of end-September last year, Ezion's non-current assets were US$1.7 billion (S$2.3 billion), up from US$1.6 billion a year earlier, due to certain joint venture bank loans taken up at the group level, which translated to an increase in shareholder loans to joint ventures.

The value of the impairments has not been determined, but Ezion expects a net loss for the quarter and year ended December as a result.

A version of this article appeared in the print edition of The Straits Times on February 05, 2019, with the headline 'Company Briefs'. Print Edition | Subscribe