NSL to sell 22.83% stake in Thai company BST to SCG for S$ 328.3 mn
The sale will allow NSL to better align its strategy to develop and grow its four core businesses
BS B2B Bureau B2B Connect | Singapore
The long term strategic investment into BST was originally made as part of NSL Group’s efforts to grow its chemicals division and NSL has participated in BST’s success over the last 20 years. In recent years, BST has undertaken a significant downstream investment plan and may continue to invest in new projects for the next stage of its development. The petrochemical industry is cyclical and capital intensive, and projects require a long investment horizon. In addition, BST is now no longer part of NSL’s core strategy and as a result it is now in the best interests of NSL to divest this investment.
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The sale will allow NSL to better align its strategy to develop and grow its four core businesses – Construction Products, Environmental Services, Engineering and Chemicals. NSL will continue to evaluate opportunities to use the proceeds received from the sale to maximise returns for its shareholders.
Oo Soon Hee, Executive Director of NSL, commented, “NSL was one of the founding shareholders of BST and we have been privileged to participate in its success over the last 20 years, which has been driven by the leadership and vision of Dr Pichit Nithivasin. SCG Chemicals, an existing shareholder in BST, is a major regional chemicals group and we believe that they will continue to make significant contributions to BST’s future strategic initiatives.”
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First Published: Nov 19 2013 | 10:05 AM IST
