The Corporate Practice Group of Harry Elias Partnership LLP has advised SGX Catalist-listed Kim Heng Ltd. on its entry into a binding letter of intent with Weft + Water Holdings, LLC, doing business as Umbilicore, for the proposed divestment of a 70% equity interest in Bridgewater Offshore Pte. Ltd., together with the transfer of the voting and economic interests attaching to a further 10% of its issued share capital. The transaction represents a strategic partnership between Kim Heng and Umbilicore, an offshore support vessel investment and operating platform, and has an aggregate potential consideration of approximately US$35.6 million. Upon completion, the transaction is expected to strengthen Kim Heng's balance sheet, enhance its financial flexibility and position the group for future growth, while retaining exposure to the future performance of the Bridgewater platform.
The proposed divestment constitutes a major transaction under Chapter 10 of the Catalist Rules and includes various option arrangements requiring shareholders’ approval under Rule 1018. Harry Elias advised on all corporate regulatory and compliance aspects of the transaction, including the structuring of the transaction and option arrangements, the preparation of SGX announcements and shareholder circular documentation, and the shareholder approval requirements under the Catalist Rules.
The Team consisted of Partner Claudia Teo, Consultant Yap Wai Ming and Senior Legal Associate Eugene Tai.