Handal acquires 51% of Borneo Seaoffshore

16 Apr 2019 / 21:20 H.

PETALING JAYA: Handal Resources Bhd is acquiring a 51% stake in Borneo Seaoffshore Engineering Sdn Bhd (BSOE) for RM25.5 million in a related party transaction.

The offshore crane services provider told Bursa Malaysia that it had entered into a conditional share sale agreement with SeaOffshore Capital Sdn Bhd for the proposed acquisition. SOC is also a major shareholder of Handal.

The proposed acquisition comes with a profit guarantee of RM5 million for the financial year ending June 30, 2020.

Of the purchase sum, Handal said some RM15.86 million will be satisfied via the issuance of 42.86 million new Handal shares at an issue price of 37 sen per share while the balance RM9.64 million via the issuance of 26 million new irredeemable convertible preference shares (ICPS) in Handal at an issue price of 37 sen per ICPS.

BSOE in the provision of maintenance of riser and pipeline isolation services located at offshore platforms and/or offshore rigs.

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