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Union Gas signs MOU to buy Semgas Supply's retail business of bottled LPG cylinders
UNION Gas Holdings on Friday said it has entered into a non-binding memorandum of understanding with Semgas Supply to acquire the latter's retail distribution business of bottled liquefied petroleum gas (LPG) cylinders and sale of LPG-related accessories to domestic households in Singapore.
Union Gas itself is engaged in the retail distribution of bottled LPG cylinders and sale of LPG-related accessories to mainly domestic households in Singapore, and plans for the acquisition to help further grow its distribution network and customer base.
The vendor has agreed that over an exclusivity period of three months, it will refrain from engaging in any discussions or negotiations with any other person over the sale and purchase of the assets.
The vendor is a wholly-owned subsidiary of Union Energy Corporation, which in turn is a company which Union Gas founder and non-executive chairman Teo Kiang Ang, and executive director and CEO Alexis Teo, have shareholding interests in.
Mr Teo is also the chairman and CEO of taxi operator Trans-Cab.