SUT And PPU To Become A Division Of Sembcorp Industries
January 01, 2008
Sembcorp Industries Ltd (Sembcorp) wishes to announce that it has entered into an internal restructuring with its wholly owned subsidiary, Sembcorp Utilities Pte Ltd (Sembcorp Utilities), for the acquisition of the latter’s SUT and Propylene Purification Unit (PPU) divisions. This internal restructuring is to further improve the operational efficiency and integration of the Sembcorp Group.
Under this restructuring, Sembcorp Utilities has transferred the entire assets and business of SUT and PPU, including its current employees, to Sembcorp. Furthermore, all material contracts and agreements with customers and suppliers are to be novated, with Sembcorp assuming all rights and obligations of Sembcorp Utilities. The internal transfer of assets and business is effective from 1 January 2008, and following this, SUT and PPU are to operate as divisions of Sembcorp.
The SUT and PPU Divisions form the backbone of Sembcorp Utilities’ successful centralised utilities model in Singapore, supplying utilities services such as steam, industrial wastewater treatment, high grade industrial process water, demineralised water, cooling water, polymer grade propylene, among other utilities services to chemical and petrochemical companies on Jurong Island.
The acquisition is not expected to have a material impact on the Group’s earnings per share and the net tangible asset value per share for the current financial year.
By Order of the Board
Kwong Sook May (Ms)
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ABOUT SEMBCORP INDUSTRIES
Sembcorp Industries Ltd is a leading utilities and marine group. The Group provides centralised utilities and energy to industrial customers in Singapore, the United Kingdom, Asia and the Middle East. It is a global leader in marine and offshore engineering and also a provider of environmental and industrial park management services in the region.
Sembcorp has total assets of over S$8.5 billion and employs more than 7,500 employees.
Listed on the main board of the Singapore Exchange, Sembcorp is a component stock of the Straits Times Index and several MSCI indices.