KUALA LUMPUR: R&A Telecommunciation Group Bhd is buying Semua Shipping Sdn Bhd for RM150mil via the issuance of new shares as it seeks to regularise its financial condition.
R&A said on Wednesday it had signed the non-binding term sheet with Semua International Sdn Bhd (SISB) to form part of its revamp plan to maintain its listing status on the ACE Market of Bursa Securities.
Under the corporate exercise, SISB would transfer all its share in Semua Shipping to a special purpose vehicle (SPV) to be controlled by its own shareholders. They are Singapore-listed Hoe Leong Corporation Ltd (HLCL) (2%), Ebony Ritz Sdn Bhd (ERSB) (49%) and Sumatec Resources Bhd (49%). ERSB is 80%-owned by HLCL and 20%-owned by Auspicious Journey Sdn Bhd.
“R&A shall then enter into a share purchase agreement to purchase the SPV.
“R&A will acquire 100% equity interest in the SPV for a purchase consideration of RM150mil to be satisfied via issuance of new R&A shares at an issue price of 10 sen per R&A share,” it said.
Semua Shipping's core activities are shipping and provision of shipping-related services.
It owns six product tankers which have a capacity of 8,000 dead-weight tonnage (DWT) each. These product tankers are used to transport refined petroleum products such as jet fuel, diesel oil, gas oil, fuel oil and kerosene. All these vessels have long term charters with Shell Malaysia.
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