Scomi Energy, Scomi Engineering to seek shareholders' approval for merger with Scomi Group

PETALING JAYA: Scomi Energy Bhd (SEB) and Scomi Engineering Services Bhd (SESB) have deliberated on the proposed merger with Scomi Group Bhd (SGB) and agreed to present the proposed merger to their shareholders for consideration and approval at the meetings to be held.
To recap, SGB plans to consolidate SEB and SESB into the group to create one listed entity, by swapping new shares of SGB for shares of SEB and SESB, a key move to develop new growth areas in renewable and chemicals.
The proposed merger will involve the acquisition by SGB and the transfer of all SEB and SESB shares not already owned by SGB at an offer price of 30 sen for each SEB share and 12.6 sen for each SESB share.
SGB is principally involved in investment holding and provision of management services to its subsidiaries and associated companies, including SEB and SESB.
The proposed merger will enable the group to leverage on the combined financial resources and strengths to compete in and undertake future business contracts, and pursue growth opportunities in both the transport and energy industries that it is familiar with.
Upon completion of the corporate exercise, SEB and SESB will be delisted.