ST Engineering divest $15.3m stake in Keystone Holdings

It’s selling off 50% to SJ Aviation Capital.

Singapore Technologies Engineering (ST Engineering)’s subsidiary ST Aerospace has inked a deal to divest 50% of its equity stake in Keystone Holdings to Singapore-based Sojitz Corporation subsidiary SJ Aviation Capital.

According to the company’s announcement, the stake is going for a consideration of about US$10.7m, or about $15.3m. Set to be finalised at completion, the consideration was arrived at, taking into account Keystone Holdings’ current performance and net asset value.

Upon completion, ST Aerospace and SJ Aviation Capital will each hold a 50% stake in Keystone Holdings.

ST Engineering asserts that the deal will not materially impact the group’s consolidated net tangible assets per share and earnings per share for FY15.