Yangzijiang Shipbuilding buys into PPL Shipyard

Singapore: China's Yangzijiang Shipbuilding and a Middle Eastern investor will buy an indirect stake in Singapore-based oil-rig maker PPL Shipyard in a S$155 million ($113 million) deal.

Yangzijiang has offered to buy Baker Technology's fully-owned vehicle PPL Holdings, which owns a 15 percent stake in the Singapore oil-rig maker, it said in a statement on Saturday.

Under the deal, Chinese shipbuilder will get a 50.1 percent stake in the vehicle, the Middle Eastern investor 45 percent and 4.9 percent will go to Yangzijiang's non-executive director Yu Kebing.

Yangzijiang will partly fund the deal by placing 83.55 million of its shares to the unnamed Middle Eastern investor at S$1.295 a share, raising about S$77.65 million for the purchase.

PPL shipyard, which makes offshore oil rigs, is 85 percent owned by Sembcorp Marine.  

(Source: Sea Trade Asia)