SembCorp Marine Ltd, Southeast Asia's largest shipyard group, said on Wednesday it had sold its 50-percent stake in a China shipyard in a strategic move to focus on a joint venture with shipping giant Cosco.
It raised S$25.3 million ($14.86 million) from selling the stake in Bohai Sembawang Shipyard (Tianjin) Co Ltd to joint venture partner China Offshore Oil Bohai Corporation, the Singapore-based company said in a statement.
SembCorp Marine, 64-percent owned by conglomerate SembCorp Industries Ltd, said it will book a divestment gain of S$1.9 million from the sale.
It will focus on a venture with state-controlled China Ocean Shipping (Group) Co SembCorp Marine has a 20 percent stake in Dalian Cosco Marine Engineering (China) Co Ltd, a COSCO-run yard focusing on ship repair, conversion and offshore engineering.
The Singapore firm had wanted to increase its stake in Dalian to tap China's fast growing ship repair market.
SembCorp shares finished the year up 9.4 percent at S$0.99, underperforming the benchmark Straits Times Index that rose 31.6 percent.
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