Sembcorp Industries (Sembcorp) has completed the sale of the entire shareholding in its subsidiary Sembcorp Environment (SembEnviro) to SBT Investment 2, a wholly-owned subsidiary of TBS Energi Utama (TBS).
This follows the Nov 8, 2024 news when Sembcorp first announced its intention to sell 100% of its shares in SembEnviro for a total consideration of $405 million.
Then, it represented a 43% premium over the book value and net asset value of SembEnviro and its subsidiaries (SembEnviro group) as at June 30, 2024, after taking into account the estimated pre-completion dividend to be distributed from SembEnviro group.
TBS manages a waste management portfolio in Singapore and Indonesia, and is listed on the Indonesian Stock Exchange. In Singapore, it owns and operates Asia Medical Enviro Services which specialises in biohazardous and medical waste treatment services.
TBS says that it is working to establish a regionally integrated waste management platform with presence in Indonesia and Singapore across medical, industrial and domestic waste management, fostering sustainable waste solutions for both cities and industries.
Sembcorp says that it will provide up to 18 months of support services to SembEnviro and its subsidiaries and will also permit limited use of the SembEnviro name and its trademarks during the transitional period.
See also: Sembcorp shares open 4.19% higher after issuing response to Bloomberg report
Shares in Sembcorp closed 10 cents higher or 1.639% up at $6.20 on March 18.
