Sembcorp Industries Ltd (SCRPF) Pre Recorded M&A Call Transcript
Sembcorp Industries said on Thursday its unit will buy two Australian energy entities, Pioneer Sail Holdings and Latrobe Valley Power (Holdings), from Chow Tai Fook Enterprises and Pioneer Sail for an enterprise value of A$6.5 billion ($4.32 billion).
I remain bullish on Sembcorp Industries, after assessing its latest inorganic growth transaction and the possibility of other similar value-accretive initiatives. Sembcorp recently announced plans to raise its stake in Senoko to 70%; this is a smart move considering factors such as synergies, valuation, and future growth potential. The company has multiple value creation levers, including potential asset spin-offs, new M&A opportunities, and dividend payout increases.
Singapore's utilities firm Sembcorp Industries said on Thursday it has terminated the gas sales deal its unit had signed to import piped natural gas (PNG) from the Mako gas fields in Indonesia, citing regulatory hurdles.