Swissco acquire waterfront property and going into rig business

Swissco had make moves recently in their expansion plan. Refer below news. Of course it is good news, but the downside is increase in debt. 
Swissco is just a very small part of my portfolio. I had also blog about this company earlier. I am still thinking if I should purchase more of this company and wait till it’s shares is consolidated. 
Still Thinking…….. 

• Proposed S$285 million acquisition of a fast-growing
international rig owner marks
Swissco Group’s foray into the offshore rig chartering
business
• Acquisition to diversify earnings base and provide
recurring income for Swissco Group

Swissco accepted an option to purchase for the
property at No. 21 Tuas Road, Singapore 638489 
for a cash consideration of S$16,200,000/- from an
unrelated party. The Tuas Property is a leasehold property and has a total land
area of approximately 26,248 square metres. It has a water front of about 107
metres and a 30 metres by 100 metres slipway.

Rationale for the Transaction. The Group now owns a
ship repair yard at 58/60 Penjuru Lane with a dry dock and two slip ways to
carry out dry docking and afloat repairs for both our fleet and third 
party vessels. The Group has increased its fleet over
the years and this has resulted in the need for an additional water front yard
facility. The Tuas Property to be acquired has a water front of about 107
metres and a 30 metres by 100 metres slipway and is suitable as a base to
manage and service our expanded fleet as well as to provide repair service to
third party vessels.

The property belongs formerly to JP Nelson a company
dealing with equipment sales and rental. 

Also heard that another Singapore listed company Gaylin had previously wanted to acquire this property as well. 

Related Posts

Leave a Reply

Your email address will not be published.