Aqua Munda will make an offer to Hyflux's P&P shareholders

The investor assured that they can secure contracts for the water firm across Asia.

Hyflux’s potential investor Aqua Munda has confirmed that they will make an offer to the preference shares and perpetual securities (P&P) shareholders of the embattled water firm, the Securities Investors Association (Singapore) or SIAS announced.

“They informed us that the purpose of the meeting [between Aqua Munda and SIAS] was to understand the concerns of the P&Ps so that Aqua Munda can incorporate into their plans to make an offer for Hyflux,” David Gerald, founder, president and CEO of SIAS, said.

SIAS then emphasised that Aqua Munda must be sincere in making an offer that takes into consideration their plight. Although Aqua Munda did not provide any details of their proposed offer to the P&Ps at the meeting, Gerald said they were assured that Aqua Munda will provide, at the appropriate time, details of their offer and financial capability to meet the acquisition with also details of their business plans for Hyflux.

“Aqua Munda informed us that they can secure contracts for Hyflux in South East Asia and Middle East countries to be announced in the near future. Their strong interest in Hyflux is due to the established track record of Hyflux in building the treatment plants and the expertise of the company and its management,” he added.

SIAS urged Aqua Munda to put forward its offer to the P&Ps as well as all relevant information as soon as possible.

“Currently, Hyflux is under moratorium until 30 July 2020 and unless a successful outcome is achieved, there is a high chance that the company may end in liquidation. In which event, the P&Ps will not receive anything,” Gerald said.