Corporate digest

Darco Water Technologies

DARCO Water Technologies has granted Emsus Co Ltd a deferment of the first settlement payment due in its repurchasing of Darco's 75 per cent shareholding interests in PT Panghegar Energy Indonesia (PEI). The amount of US$500,000 was to be paid on or before Dec 22, but Emsus requested a deferment to Jan 31, 2021. It cited a delay in the closing and funding of a back-to-back transaction that it had arranged, to have a government-owned entity in Indonesia and a third party investor take over the controversial Nambo project under PEI. The third party investor's eligibility is pending final approval from the West Java Provincial Government.

Darco said it understood the payment would be paid out of the proceeds of the back-to-back transaction, and agreed to defer the payment to Jan 31.

In July, Darco exercised the option to reverse its purchase of the 75 per cent stake in PEI, after the West Java government declined to renegotiate the terms of the Nambo project. Darco's third-party consultant had recommended the renegotiation to make the project viable.