Invicta to dispose of majority share of Kian Ann
Investment management group Invicta Holdings will sell 51.19% of its Singapore-based machinery parts distribution company Kian Ann Group to entities controlled by Zou Jian Liang and associates and Loy Soo Chew.
The transaction will simultaneously allow for share subscriptions in Kian Ann by Invicta Asian Holdings and Zou to facilitate an increase of Kian Ann’s 27.604% shareholding in China-based heavy machinery parts manufacturer Kunshan Kensetsu Buhin (KKB) and its 50.01% shareholding in heavy machinery distribution operations investment company Modesty Investment Holding (MIH) to 100%.
The transaction will result in Invicta reducing its shareholding in Kian Ann from 100% to 48.81%.
Kian Ann owns Kian Ann Engineering and Kian Ann Investment, which house its investments in KKB and MIH.
Invicta Asian Holdings and Zou will each have 48.81% shareholding of Kian Ann, while Loy will hold 2.38%.
"The primary purpose of the transaction is to align the interests with Invicta’s Chinese partners in the primary growth areas of its business, being the US and China, which will allow for improved returns and asset allocation within the Invicta group.
"Kian Ann will additionally benefit from the vertical integration of KKB and MIH, which will become wholly-owned subsidiaries."
Post implementation of the transaction, Invicta’s effective indirect shareholding in KKB and MIH will be 48.81%.
Invicta will apply the net cash proceeds of R347-million in the short term to reduce the offshore debt component of the Invicta group, thereby realigning its funding objectives and enabling it to improve its return on capital employed.
Comments
The
content
you are trying to access is only available to subscribers.
If you are already a subscriber, you can Login Here.
If you are not a subscriber, you can subscribe now, by selecting one of the below options.
For more information or assistance, please contact us at subscriptions@creamermedia.co.za.
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation