Utico of UAE pushes deadline for firm offer to invest in Hyflux until June 27

SINGAPORE: Utico, an electricity supplier of the United Arab Emirates, has extended the June 27 deadline for the conclusion of a binding agreement with Hyflux, announced Tuesday, June 18, the company 's treatment company. water in difficulty.

Utico, one of seven potential investors, had previously given Hyflux until June 17 to sign a binding deal on its $ 400 million investment.

READ: The meeting with Utico did not allow to obtain "conclusive figures" or binding agreement: Hyflux

The decision to extend the deadline has been made in the interest of all stakeholders, including creditors, customers and shareholders of indefinite and preferred securities (PNP), said Utico in a statement.

An open discussion session with PNP shareholders will be held for the week beginning July 7th if an agreement is signed before June 27th.

"For all stakeholders, including PNP, we believe more waste of time and uncertainty will also result in greater impairment losses," said Utico CEO Richard Menezes.

"The proposed timetable will help establish a clear roadmap with viable business prospects for the company, which will lead to the realization of the necessary and successful restructuring."

Hyflux – whose restructuring agreement with the future white knight SM Investments had been abandoned early April – announced in May that Utico had submitted a rough draft, but that it had neither accepted or agreed with him.

Hyflux, whose tens of thousands of individual investors are closely watching the restructuring process that has lasted a year, said it remained in discussion with all potential investors and that it would make the announcements appropriate as the situation evolves.

READ: Make waves and drown in red ink: Hyflux, Tuaspring and how a giant of business is defeated

She previously designated the Oyster Bay Fund Global Multi-Strategy Investment Fund and an anonymous desalination company.

On Saturday, Hyflux revealed that another potential white knight – an unidentified investor based in China – had submitted a non-binding letter of intent for a possible investment.