KPELF - Keppel Sembcorp Marine merge to shipyard renewables giant

Keppel Corp. (OTCPK:KPELF) and Sembcorp Marine (OTCPK:SMBMF) agreed to merge their offshore shipyard divisions in a deal that will create the world's biggest builder of oil rigs and push the business further into renewable energy solutions. Keppel Offshore & Marine and Sembcorp Marine will be wholly owned by a new holding entity, which will be listed on the Singapore stock exchange, the two companies said Wednesday. The combined entity will have revenues of S$3.9B based on 2021 figures, a net loss of S$1.3B and an order book of S$6.4B. The two companies have been in talks since last June after Keppel decided to exit its traditional offshore oil business. Temasek will be the largest shareholder of the combined entity with a 33.5% stake; the Singapore state investment group in 2020 abandoned an effort to take control of Keppel after the rig-builder posted heavy losses.

For further details see:

Keppel, Sembcorp Marine merge to shipyard, renewables giant