Press Releases
 
New Silkroutes Group sells its energy unit for US$10 million

- Disposal of International Energy will transform NSG to a total healthcare group - NSG will reorganise its capital structure to position itself for dividend payments

SINGAPORE, 25 March 2019 -- (ACN Newswire) -- New Silkroutes Group Limited ("NSG", or the "Company" and together with its subsidiaries, the "Group") today announced that its wholly-owned subsidiary, New Silkroutes Capital Pte. Ltd, has signed a share sale and purchase agreement with TK Energy Limited for the disposal of the Company's entire shareholding interests in International Energy Group Pte. Ltd. ("IEG") for US$10,000,000 in cash.

The consideration for the disposal was reached after arm's length negotiation with the purchaser, on a willing-buyer and willing-seller basis, and taking into account the historical earnings and net tangible assets of IEG. In connection with the disposal, the Purchaser will make available to NSG a loan of US$10,000,000, which will be deemed repaid in full when the disposal is completed.

The disposal is subject to certain conditions, including the approvals from the SGX-ST and shareholders. Thereafter, IEG will cease to be a subsidiary of the Company and the Company will become a full-fledged healthcare group.

The purchaser, TK Energy Limited, is a private limited company incorporated in Hong Kong formed by stakeholders with interests in the oil and gas sector. As part of the acquisition, it will make available to IEG, credit facilities of up to US$250,000,000 of which an initial loan of US$50,000,000 will be advanced to IEG, which will be capitalised as shares in the latter upon completion of the sale and purchase agreement.

The disposal is expected to result in a gain of approximately US$10,000,000 for the Group. This will reinforce the Company's earnings base, strengthen the Group's operations and financial position, and enhance the long-term interests of shareholders.

Dr Goh Jin Hian, NSG's Chief Executive Officer, said: "We have secured a financially strong strategic buyer for IEG and we are pleased that they also recognise the value of our oil trading division. The sale will provide the Group with the funds to expand its healthcare business locally and regionally, through a mix of acquisitions, collaborations, and organic growth.

Moving ahead with healthcare as our core focus, we aim to deliver shareholder value in the longer term. For a start, NSG has plans to resolve the issue of longstanding negative retained earnings with capital reorganisation. After this exercise, NSG will have a more efficient capital structure, and will be well positioned to start dividend payments, thereby improving shareholders' return on equity."

This Media Release is to be read together with New Silkroutes Group Limited's announcement dated 25 March 2019.

About New Silkroutes Group Limited

New Silkroutes Group (Reuters: NEWS.SI; Bloomberg: NSG SP) is a Singapore-incorporated investment holding company listed on the Mainboard of Singapore Exchange Securities Trading Ltd (SGX). The Group, through its subsidiaries and associate companies, has businesses in the Energy/Resources and Healthcare sectors.

About International Energy Group Pte. Ltd.

International Energy Group Pte. Ltd. ("IEG") is a wholly-owned oil trading subsidiary of New Silkroutes Group, which counts oil majors and national oil companies among its counterparties. Incorporated in 2014, IEG focuses on physical oil trades in the key markets of Southeast Asia and North Asia.

Issued on behalf of New Silkroutes Group Limited by:
Waterbrooks Consultants Pte Ltd
Tel: +65 6100 2228
Grace Choong
Lynette Tan

# # #


Submitted by ACN Newswire, ACN Newswire on Monday, 25 March 2019 at 11:10 PM
Category: Business
 
Related News

Dooley KP Is Set To Release The Song Ignant With Kountrysyde Records On 15th April 2019
Saturday, 20 Apr 2019

Understand how Acrylic Rendering Can Benefit You and your House
Saturday, 20 Apr 2019

Understand how Acrylic Rendering Can Benefit You as well as your House
Saturday, 20 Apr 2019

Electrical Services and Their Know-How
Saturday, 20 Apr 2019

Advantages Of Hiring An expert Plumbing Service
Saturday, 20 Apr 2019

Related Events

DOZ Live Inspirational Conference (DOZ Live)
Saturday, 20 Apr 2019

Transformational CISO Assembly in Nashville - April 2019
Tuesday, 23 Apr 2019

Health And Benefits Leadership Conference 2019.
Wednesday, 24 Apr 2019

Oil and Gas Supply Chain Compliance
Wednesday, 24 Apr 2019

CRU World Aluminium Conference 2019
Wednesday, 24 Apr 2019

Latest News

Dooley KP Is Set To Release The Song Ignant With Kountrysyde Records On 15th April 2019
Saturday, 20 Apr 2019

Local Platform for Services and Products, theconnectguam.com, Launches New App. Search Made Easy
Saturday, 20 Apr 2019

Understand how Acrylic Rendering Can Benefit You and your House
Saturday, 20 Apr 2019

Understand how Acrylic Rendering Can Benefit You as well as your House
Saturday, 20 Apr 2019

Electrical Services and Their Know-How
Saturday, 20 Apr 2019

 
Want to get your press releases, event listings, and job ads on Scoopasia? Register now for a FREE account or login if you already have one!
Scoopasia v1.0b. Copyright © 2019
Today is Saturday, 20 April 2019

About Scoopasia | FAQ | Privacy Policy | Contact Us

Press Releases
Event Listings
Job Listings
Arts & Entertainment
Architecture & Construction
Automotive & Travel
Business
Consumer Technology
Economy
Education
Enterprise Technology
Food & Fashion
Government & Policy
Health Care & Medical
Legal/Law
News & Media
Religion
Science & Research
Sports & Fitness
Login / Register
Get Scoopasia through RSS Feeds & Email Notifications!


Journalist's Toolbox
Hello journalist, welcome to Scoopasia--a powerful online resource for media information in Asia. Scoopasia has press releases and media events for every beat and industry. All content on Scoopasia is 100% FREE. You don't even need to login!

  • Scoop Line
    (Instant Information Request)
    The easiest way to ask questions and request information from the PR community.


  • Advanced Search
    Drill down, dig deep, for media information the way you want it.

  • Journalist's Resources
    Resources and tools you can't do without.

  • PR Tools
    Scoopasia Blog Search
    Search the largest handpicked collection of Asia's most prominent and influential blogs.


    Resources
  • PR Bookmarks
  • Web 2.0 Bookmarks
  • Media Bookmarks

    More Coming Soon...

  • Upcoming Events
  • Palo Alto Networks: Palo Alto Networks Next Generation Firewall Hands-on Seminar
  • DOZ Live Inspirational Conference (DOZ Live)
  • 3rd Annual NASH Summit | April 22-25, 2019 | Boston, MA
  • Rx Drug Abuse and Heroin Summit
  • European NeoAg Summit 2019

  • Latest Jobs
    Sorry, there are currently no entries posted here.