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Sembcorp keen on Hyflux’s Tuaspring power plant, at the right price

SEMBCORP Industries is keeping its options open for Hyflux’s Tuaspring co-generation power plant "if the price was right".

Group chief executive officer Neil McGregor told The Business Times on Wednesday at the conglomerate’s first quarter results briefing: “We were once interested… We are keeping our options open. Naturally if the price was right, this may be of interest to us. But we have to wait and see what transpires… So we... are keeping an eye on the development.”

Debt-ridden Hyflux announced on Tuesday that Tuaspring’s only secured creditor has appointed receivers to take over the power plant.

The charged property is the Tuaspring co-generation power plant, and excludes the desalination plant and other shared infrastructure that are subject to the rights of national water agency Public Utilities Board (PUB).

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It was reported last year that Sembcorp Industries was one of only two bidders pre-approved by PUB as potential buyers of Tuaspring, but only Sembcorp had submitted a final bid. The offer was reportedly under book value.