SHAH ALAM: THHE buys Destini’s shipbuilding venture. Urus Jemaah Sdn Bhd subsidiary, THHE Bhd is buying its partner Destini Bhd’stake in a ship building company for RM121,131. The company is of course the one building the MMEA’s OPV. Malaysian Defence had previously reported on this before.
From The Star:
“The proposed acquisition of THHE Destini Sdn Bhd (TDSB) is in line with the Group’s intention to grow its ship building and ship repair business,” THHE said in a filing with Bursa Malaysia today. The deal, THHE said, will also allow the Group to “further strengthen its technical capabilities and track record in ship building and ship repair businesses which will open up more business opportunities in the ship building and ship repair sectors.”
THHE currently owns 49% of TDSB. Meanwhile, Destini said the disposal would allow the loss making company to shift its focus from marine manufacturing to marine services.
“The proposed disposal will also enable Destini to build and strengthen its other divisions such as energy and rail & land transport, which the Group is currently participating actively within the industries,” it said.
This basically means that THHE will now fully owned TDSB the company that is building the MMEA OPV, which delivery has been delayed later this year. This also likely mean that both companies will be free to tender for the LMS Batch 2 if and when the government decides to fund the project. It mus be noted that Destini still has its own shipyard, Destini Shipbuilding and Engineering Sdn Bhd, the company that build the NGPC or the Bagan Datuk class of patrol boats of the MMEA.
My sources are saying that the LMS Batch 2 programme is likely to be setback further in RMK12 with the government as yet to table it in Parliament. With a general election likely later this year, it is likely that funding for RMK12 will only be tabled next year.
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THHE looks to be committed to SBSR business. Look at the Board composition. Chairman is a Naval Architect. Another newly appointed Director was the COO of Grade One Shipyard. And the UJSB CEO who is also a member of the THHE board is very conversant in the SBSR business looking at his experience with Business Focus and TS Amin Shah.
This Amin Shah is the same fellow who sunk the NGPV project previously?
OTOH please buy more of those CG ships, at least we get people to work and pay taxes, this is one of those programs that seems to turn out OK
THHE has been barred from Petronas job for several years due to \”non performances\” issue. just pray harder they do not fkup again with this OPV project.
Really that cheap, ah?
“MMEA OPV, which delivery has been delayed later this year”
This doesn’t sound promising for a buyout…. more like a bail out to me.
“they do not fkup again with this OPV project”
We’re talking about a GLC that had to sell some of their prized assets 2 years earlier.
Ya, that Amin Shah.
Do note however that many professionals working for him then were some of the best in the industry. So, do not generalise and paint all with the same brush ya. These were the same people that completed all 6 NGPVs when the project was taken over by Boustead. Sad that most of these professionals were not involved in the LCS program, which in my opinion is one of the reasons why the LCS program is in the state it is in now.
From what I observe, all the people who effed up on O&G projects are gone.
The JV Co is just an SPV set up for the project. Thus, it wouldn’t have substantial assets under it for the sale price to be higher. However, I tend to agree with you that this looks like a bailout of sorts… Time will tell…
BTW, prized assets apa yang kena jual by THHE 2 years ago? I do not recall anything being sold by THHE 2 years ago, or even 1 year ago.