Straits Construction Group signs MOU for potential RTO of Transcu Group

Meant to raise Transcu's market capitalisation.

Singapore Exchange Mainboard-listed company Transcu Group Limited announced that it has recently entered into a non-binding Memorandum of Understanding (MOU) in relation to the proposed acquisition of the entire issued and paid up capital of Straits Construction Group Pte Ltd, (Straits Construction Group), a group of companies
primarily engaged in the business of building construction in Singapore.

Mr. Koo Ah Seang, Transcu’s Chairman and Executive Director said “We are excited about the proposed acquisition of Straits Construction Group, a well-established and award-winning leader in the industry.”

The vendors are Wong Swee Chun Contractor Pte Ltd, Wong Swee Chun, Tang Loi Hup, Wong Sjew Hung and Wong Chee Herng who together hold 100% of the equity of Straits Construction Group. In its announcement, Transcu stated that if successful, the proposed acquisition is expected to result in a “Very Substantial Acquisition or Reverse Take-over (“RTO”)” of Transcu as defined in Chapter 1015 of the Listing Manual of the Singapore Exchange Securities Trading Limited.

On how he felt about the signing of the MOU, Mr Wong Swee Chun, Founder and Chairman of Straits Construction Group said, “I am immensely proud that during the past 40 years, Straits Construction Group has been able to contribute towards the building of Singapore’s public housing. I believe that under the second generation management team of professionals led by Managing Director, Mr Wong Chee Herng, we will be able to contribute even more to Singapore.”