SIAEC divests entire 39.2% shares in JV for aircraft parts repair
SIAEC’S stake is pegged at $3.79m (US$ 2.79m).
SIA Engineering Company (SIAEC) will be selling its entire shareholding in Asian Surface Technologies Pte Ltd (AST) to PAS Technologies (PAS).
AST is a joint venture between SIAEC with 39.2% stake; PAS, 40.8%; and United Technologies International Corporation, 20%.
Principle functions of the venture include the repair of aircraft engine fan blades and the provision of wear-resistant and high-temperature corrosion-resistant coating services to the aviation, and oil and gas industries.
After negotiations, SIAEC’S 39.2% stake in AST to PAS is pegged at $3.79m (US$ 2.79m).
Based on AST’s audited financial statements for the financial year ended 31 December 2020, the net value of the AST shares owned by SIAEC is worth $3.81m. SIAEC will recognise an estimated gain of $2.68m on the divestment of its entire stake in AST.
Through the completion of this deal, AST has ceased to be an associated company of SIAEC.