Mainboard-listed TEE International, along with Catalist-listed Advancer Global and a financial investor on Monday entered into a joint venture agreement to buy Chiang Kiong Environmental and Envotek Engineering, together known as Chiang Kiong Group for S$18.5 million.
A joint venture company will be formed by TEE's wholly-owned subsidiary, TEE Infrastructure, Advancer Global's Advancer Global Facility and the Investor, where they will own 50.1 percent, 20.1 percent and 29.8 percent stakes respectively, to acquire Chiang Kiong Group, the company said in a regulatory filing.
Chiang Kiong Environmental provides waste management, recycling and environmental
solutions facilities in Singapore while Envotek Engineering is an engineering company offering waste management products.
The aggregate consideration of $18.5 million will be paid by the shareholders of the JV in proportion to their shareholding, said TEE International, which provides mechanical and electrical engineering services.
The proposed acquisition is expected to be completed by December 29.
Shares in TEE International were unchanged at S$0.20 on the Singapore Exchange. The stock has risen about 1 percent in one year.