Triyards Holdings acquires Strategic Marine

Singapore

SINGAPORE-listed Triyards Holdings has acquired Strategic Marine's facilities in Singapore and Vietnam for A$23.3 million.

This follows the group's announcement on Tuesday that it had entered into an agreement with Henderson Marine Base to buy its entire issued share capital in Strategic Marine, which holds its shipbuilding and fabrication facilities in both Singapore and Vietnam.

Henderson Marine Base is an Australian-based shipbuilder and fabricator with facilities in Australia, Singapore and Vietnam.

Triyards provides engineering, fabrication and ship-construction solutions for the offshore and marine industries. The purchase price took into account, among other factors, the net asset value of the target companies of approximately A$19.7 million, based on their unaudited proforma consolidated financial statements for the financial year ended December 2013.

Triyards had also revealed that the purchase price would be paid entirely by cash from the proceeds from its issuance of 29.5 million new ordinary shares at S$0.70 each in September, as well as its internal cash resources.

The group has consistently expanded its business and earnings base through organic expansion and selective acquisitions.

The acquisition will also extend the group's market reach by tapping the target companies' clientele base.

Triyards shares closed 1.5 Singapore cents lower on Wednesday at 69.5 Singapore cents.