Hyflux refutes the "late allegations" of the Indonesian investment group
Hyflux refuted earlier statements made by the Salim-Medco consortium SM Investments in a document submitted to the Singapore Stock Exchange on Saturday night (March 30).
The troubled water treatment company stated that it did not conceal important information about Indonesia's White Knights. Despite the company’s questions, SM Investments has not explained whether any information it seeks to rely on needs to be modified. Assess the company's working capital needs.
Hyflux also stated that SM Investments opposed the US$272 million global cash settlement figure under the plan for the first time on March 7, 2019, trying to rely on information provided on January 3, 2019 more than two months ago.
The water treatment company said it disagreed with the "late allegations" made by investors on several points.
Among them is SM Investments’ statement that the distribution specified in the plan of arrangement proposed by Hyflux did not reach agreement and therefore did not meet the conditions of the reorganization agreement.
Hyflux stated that the company and investors have reached an agreement on the settlement of the prescribed financial obligations under the restructuring agreement before the announcement of the plan on February 16, 2019, including the total amount of cash distribution invested by investors.
The company also stated that it disagreed with SM Investments’ previous statements regarding “new material information”, which allegedly “understood” recently and should have been “previously disclosed”.
Hyflux stated that most of the information that SM Investments seeks to renegotiate and renegotiate the agreed economic terms was provided to them on January 3, 2019, and it stated for the first time that it did not agree to these terms in a letter dated 2019. March 7.
The company said it was "surprised" by SM Investments' sudden position.
On Saturday, more than 100 retail investors of Hyflux Perpetual Securities and preferred stock shareholders protested in Honglin Park against the company's restructuring plan and the latest development involving the water treatment company.
Capvis’ restructuring plan will be voted on by creditors on April 5. Some protesters condemned the plan as a “beggar deal” at the rally.
However, if SM Investments is not strengthened and Tuaspring’s default is not resolved before April 30, the Public Utilities Bureau has the right to acquire the Tuaspring desalination plant at a price of zero dollars.