Deleum proposes RM13 million sale of DTS stake to Ocean Vantage
Ocean Vantage intends to buy the remaining 13.33% stake for RM2 million under a separate, inter-conditional transaction.
Deleum Bhd has agreed on preliminary terms to dispose of its 86.67% interest in Deleum Technology Solutions Sdn Bhd (DTS) to Ocean Vantage Holdings Bhd for RM13 million cash. Deleum said in a bourse filing that the proposed sale would help it streamline its portfolio and direct resources towards its core businesses.
The heads of agreement (HOA) was signed by Deleum Services Sdn Bhd, a wholly-owned Deleum subsidiary, and its wholly-owned subsidiary Delcom Holdings Sdn Bhd with Ocean Vantage.
Datuk Halmi Khalid, who owns the other 13.33% of DTS, signed a separate HOA to sell his holding to Ocean Vantage for RM2 million cash. Each transaction depends on the other proceeding. Ocean Vantage intends to take full ownership of DTS for RM15 million when both are completed.
Incorporated in 2011, DTS offers corrosion and inspection services and blasting technology. Its activities also include maintaining, constructing and modifying tanks, vessels, structures and piping.
Ocean Vantage said in its own bourse filing that the acquisition was expected to broaden the services it offers existing oil and gas customers in the drilling rig segment. It also anticipated opportunities to draw on DTS' contracts, customer relationships, technical expertise and workforce.
Subject to board approvals, the parties plan to negotiate and sign a definitive share sale agreement within 90 days, unless they agree to extend the deadline. Other conditions include obtaining necessary approvals from financiers or third parties. The companies cautioned that the transactions might not proceed as planned.
