SWISSCO ENTERS OFFSHORE RIG CHARTERING BUSINESS THROUGH S$285.0 MILLION ACQUISITION OF SCOTT AND ENGLISH ENERGYMarch,3rd 2014
• Swissco Group expanding upstream into the offshore rig chartering business with the
acquisition of Scott and English Energy.
• Scott and English Energy is in the business of owning and leasing mobile offshore drilling
units and service rigs to support major oil and gas corporations in their exploration and
production (“E&P”) activities.
• Operational synergies expected with the acquisition, providing Swissco Group with a
diversified earnings base with stable, recurring income.
Singapore, 28 February 2014 –
SGX Mainboard-listed Swissco Holdings Limited (“Swissco” or the “Company,” together with its subsidiaries, the “Group”), a leading marine service provider for the offshore oil and gas industry, announced the proposed acquisition of Scott and English Energy Pte. Ltd. (“Scott and English”) for approximately S$285.0 million today.
The Company has entered into a legally binding heads of agreement (“HOA”) with
Double Dragon Energy Holdings Limited (“Double Dragon”), which will form the broad basis
of the definitive sale and purchase agreement to be entered into for the proposed acquisition
of the entire issued and paid-up share capital in Scott and English (“Acquisition”).
Scott and English is in the business of owning and leasing mobile offshore drilling units and
service rigs to support major oil and gas corporations in their exploration and production
(“E&P”) activities. It is helmed by industry veterans with many years of experience in the oil &
gas industry, including Mr. Tan Fuh Gih and Mr. Tan Kim Seng. Scott and English is a whollyowned subsidiary of Double Dragon, which is majority-held by Kim Seng Holdings Pte. Ltd. (“KSH”).
In connection with the Acquisition, the Company proposes to undertake a share consolidation
(“Share Consolidation”) of two Shares into one new Share (“Consolidated Share”).
The consideration of S$285.0 million is to be satisfied by the allotment and issuance of
452,380,952 Consolidated Shares in the capital of Swissco (“Consideration Shares”) at an
issue price of S$0.630 per Consideration Share. Scott and English is valued at approximately
S$289 million according to a valuation report dated 27 February 2014 issued by Jones Lang
LaSalle Corporate Appraisal and Advisory Limited commissioned by the Company.
An extraordinary general meeting will be convened at a later date to seek the approval of
Swissco shareholders for the Acquisition. The Acquisition is also subject to the approval of
SGX, as it is regarded as a very substantial acquisition under the rules of the SGX Listing