Hatten Land is proposing to acquire the entire share capital of Metrocon for $24 million, resulting in a reverse takeover of the company, according to a bourse filing on Oct 7.
The rationale for the proposed acquisition is for the stabilising of Hatten Land’s financial position, while exploring strategic business and investment opportunities, according to Deloitte’s judicial managers Tan Wei Cheong and Lim Loo Khoon.
The property developer filed an application to the Singapore High Court to be placed under judicial management last August. Back then, the group said that the judicial management was filed as a “proactive measure” to facilitate the ongoing restructuring efforts, and to forestall any possible action by other creditors.
Metrocon is an exempt private company incorporated in Singapore and is engaged in the business of general building construction, including piling and major upgrading works.
The completion of the proposed acquisition will take place in four weeks from the satisfaction or waiver of the conditions precedent, which include a few conditions such as the minimum valuation of the target company being $24 million.
Hatten Land last traded at 1.1 cents.
