SINGAPORE - Oil and gas equipment supplier Baker Technology has cancelled plans to invest in Emas Offshore, throwing a spanner in the works of the target's plans to emerge from restructuring.
Baker Tech announced on Monday (July 2) during the Singapore Exchange's lunch break that its wholly owned subsidiary, BT Investment, terminated a term sheet with Emas on July 2 and will no longer proceed with the planned investment.
BT Investment had entered into the term sheet in December 2017 with a number of co-investors to make a potential US$50 million of equity injection into Emas, an offshore support vessel-focused business.
In June this year, Emas had sought a four-month extension from the Singapore High Court to give it more time to negotiate the terms of the potential investment after Baker Tech said that it was no longer willing to pursue the original restructuring proposal.
Emas had said at the time that other potential investors had expressed interest in its business operations and platform.
Baker Tech shares tradedd at 51 cents, up 1 per cent or 0.5 cent, as at 1.03pm on Monday.
Trading of Emas shares on the SGX has been suspended since March last year.