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Hyflux gets Maybank's in-principle approval for Tuaspring divestment extension

TROUBLED water treatment firm Hyflux has obtained in-principle approval from Maybank for an extension of the Oct 15 deadline by which it should find a buyer for its Tuaspring integrated water and power plant and execute a binding purchase agreement, it announced on Monday after the market closed.

The deadline has been extended up to and including Oct 29.

Hyflux had earlier said in a July 6 announcement that Maybank, its largest secured lender, had agreed to give it until Oct 15 to find a buyer for the Tuaspring divestment. Hyflux would also have to get Maybank and the Public Utilities Board to approve the divestment by Dec 11, and then obtain shareholders' approval for the sale by Feb 4, 2019.

As long as Hyflux meets these deadlines, Maybank will refrain from commencing enforcement proceedings against Tuaspring or its assets, Hyflux said in its July 6 announcement.

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The company said on Monday that it will make further announcements as and when there are any material updates or developments, and cautioned shareholders and holders of its securities to exercise caution.