Memiontec, a water treatment and waste management services company, says that it is on an ongoing basis exploring and or entering discussions on possible mergers and acquisition opportunities, though no definitive or binding agreement has yet to be signed, according to a bourse filing on Feb 12.
Memiontec’s statement was in response to a query by the Singapore Exchange Securities Trading (SGX-ST) filing on the morning of Feb 12, which noted an “unusual volume movement” in the shares of Memiontec recently.
Shares in Memiontec closed 30.77% up at 5.1 cents on Feb 12.
“There is no assurance or certainty that any definitive or binding agreement will be entered into or if any of such possible transactions will eventually materialise,” Memiontec adds.
The company on Feb 12 released a profit guidance announcement in which it expects to report a net loss for the FY2024 mainly due to lower revenue contributions from certain ongoing projects in Singapore. This is due to prolonged construction periods and supply chain disruption which has led to higher materials, manpower and finance costs.
Memiontec was established in 1992 and operates across Singapore, Indonesia and mainland China. It has four main business segments: total solutions with engineering, procurement and construction (TSEPC); operations, maintenance and service (OMS); sales and distribution of water treatment systems and trading (SDS); and sales of water (SOW) through transfer-own-operate-transfer (TOOT) and build-own-operate-transfer (BOOT) projects.
See also: Salesforce pledges to invest US$1 billion in Singapore over the next five years
Last December, the company released an announcement related to the proposed renounceable non-underwritten rights cum warrants issue.
Apart from the above two bourse filings, Memiontec says that it is not aware of any other possible explanation for the trading.
Shares in Memiontec closed 1.2 cents higher or 30.769% up at 5.1 cents on Feb 12.
