8Telecom weighs transfer of listing status to South Korean health product company

TELECOM infrastructure group 8Telecom International Holdings' listing status could be transferred to a South Korean health product company, its judicial managers told the Singapore Exchange on Friday.

8Telecom has inked a memorandum of understanding with South Korea-listed stainless steel product maker Kossen Co, which controls BiogenicsKorea Co with an interest of 40.2 per cent.

Tardis Capital (Singapore) Pte Ltd, a boutique mergers and acquisition advisory firm, introduced the parties in the transaction and will be advising Kossen and BiogenicsKorea.

While the memorandum of understanding is not legally binding, it comes with a provision requiring both parties to commit to exclusive negotiations, for at least 30 days, on a definitive agreement for the proposed restructuring of 8Telecom.

Still, judicial managers Andrew Grimmett and Lim Loo Khoon, of Deloitte & Touche, warned: "There is no certainty or assurance that the definitive agreement will be entered into at this juncture, and if entered into, whether the transactions contemplated therein can or will proceed."