Asiatic Group responds to open letter from minority shareholder

Singapore

ASIATIC Group has responded to an open letter from a minority shareholder that questioned the continued operations of its poorly-performing power plants.

Last month, minority shareholder Jerry Low wrote to Asiatic's board expressing unease over its decision to commit what he felt was a "disproportionately huge exposure" to the loss-making Maju Intan Biomass Energy project in Malaysia, among other things.

Asiatic has a 30 per cent stake in Maju Intan, and has extended it a S$15.2 million interest-free loan. Asiatic also owns S$4.2 million worth of convertible b…