China Oilfield Tech proposes to sell all units to its chairman

Singapore

TROUBLED oil services firm China Oilfield Technology Services has proposed to sell all its subsidiaries to executive chairman and controlling shareholder Gao Yanming for two million yuan (S$400,000). These subsidiaries, a mix of investment holding, research and development and manufacturing companies, were independently valued and found to have no commercial value, the company said.

An intermediate holding company, Ever View, also has net liabilities of 139 million yuan. China Oilfield Tech has negative equity of 136 million yuan as at Sept 30 due mainly to secured debt. The company has also been on the Singapore Exchange (SGX) watchlist since March for making three years of pre-tax losses in a row and having a 120-day average market value of under $40 million.