Yong Jiunn Run, CEO of Beng Kuang says: “Capping another milestone in rationalising our fixed assets and transition towards an asset-light business model, this transaction provides an opportunity for the group to unlock value and partially monetise our shipyard property at a premium to our initial investment.”
Beng Kuang Marine (SGX:BEZ
) has entered into a conditional land sale & purchase agreement to sell a part of its Batam waterfront shipyard property for $8.64 million to a subsidiary of Oil States Industries, a major global provider of integrated energy systems and solutions.
In the recent years, the group has been prioritising cost minimisation and deleveraging initiatives, while focusing on monetising fixed assets and high-potential business segments within its core business divisions to create new growth catalysts.
