Date: September 21, 2019
SIAS met with the directors of Hyflux on 16 September 2019. At the meeting, Hyflux updated SIAS on the efforts undertaken by Hyflux to secure an investor. SIAS is encouraged by the efforts put in by Hyflux in its negotiations with potential investors and the progress achieved with Utico.
Hyflux informed SIAS of the reasons why the Company will not be filing an application for leave to convene a scheme meeting this week as previously intended. Instead, the Company will be filing an application for a two month extension of the current moratorium orders of court in the week of 16 September 2019.
SIAS notes that negotiations with Utico has reached an advanced stage and is fully supportive of the Hyflux’s plan to seek a two month extension to facilitate negotiations with Utico with a view to finalise and execute the proposed restructuring agreement. Should a deal with Utico not be reached, the extension would also facilitate Hyflux in pursuing discussions with the other interested investors with the creditors still having the ability to apply for leave to bring an end to the moratorium if the creditors are not satisfied with the progress of negotiations. SIAS agrees that there will be no prejudice caused to the creditors.
SIAS did impress upon Hyflux’s board to do their best to arrive at a satisfactory resolution for Hyflux’s stakeholders.
Founder, President & CEO
Securities Investors Association (Singapore)