PUB rejects Utico's request to delay Hyflux Tuaspring takeover

Utico said a delay in takeover of the Tuaspring plant (above) "will allow for Utico and Hyflux to enter into a transaction which would provide for remedial and rectification action ... to PUB's satisfaction".
Utico said a delay in takeover of the Tuaspring plant (above) "will allow for Utico and Hyflux to enter into a transaction which would provide for remedial and rectification action ... to PUB's satisfaction".PHOTO: HYFLUX

UAE firm wants to meet Hyflux's retail perp, preference shareholders in bid for 'resolution'

National water agency PUB has shot down a last-minute request by potential Hyflux white knight Utico to delay its takeover of the Tuaspring desalination plant, slated to take place tomorrow.

The United Arab Emirates utility, which has offered to invest $400 million in Hyflux, was hoping to enter a deal with the debt-ridden firm to fix the operational and financial defaults at Tuaspring Integrated Water and Power plant that Hyflux had failed to rectify. The defaults, coupled with a failed $530 million rescue deal by Indonesian consortium SM Investments, resulted in PUB stepping in.

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A version of this article appeared in the print edition of The Straits Times on May 17, 2019, with the headline 'PUB rejects Utico's request to delay Tuaspring takeover'. Print Edition | Subscribe