SINGAPORE: The board of directors of Tritech Group Limited and its wholly owned subsidiary TGL Engineering Group Pte Ltd entered into a framework agreement with Lim Wen Heng Construction Pte Ltd to sell 100% of the total issued share capital of Presscrete Engineering Pte. Ltd. to Lim Wen Heng.
The sale price shall be based on the aggregate of the audited net asset value or net liability of Presscrete Engineering for the 9 months period ended 31 December 2018, after taking into account an agreed value to be ascribed to the revalued property, plant and equipment of Presscrete; a mutually agreed value of S$50,000 for intangible assets of Presscrete; an agreed percentage of the net profits or net losses to be generated from or otherwise attributable to certain projects in the existing order book of Presscrete as at 31 December 2018.
The parties have agreed to strive to sign the sale purchase agreement (SPA) that will include all of the contents of the Framework Agreement as soon as possible but no later 30 April 2019, regardless of whether the Audit and the Valuation has been completed at that juncture.
Lim Wen Heng Construction has agreed to pay a refundable deposit of S$1.2 million to the Company upon signing of the Framework Agreement, which shall be jointly repayable in full by Tritech and TGL in the event the SPA is not signed and executed by parties within 30 days of such payment and the Company and TGL shall indemnify the Purchaser for the full amount of the Deposit.
Presscrete is a company principally engaged in the provision of specialist engineering services, broadly divided into three categories namely (i) structural engineering services, which includes specialist services for building and civil structures, (ii) ground engineering services, which includes specialist services related to soils and ground testing, and (iii) special construction services, which includes design-and-build projects and other special construction projects undertaken requiring a greater level of specialist contracting and engineering knowledge.
Presscrete is a wholly owned subsidiary of TGL Engineering Group Pte. Ltd., which in turn is a wholly owned subsidiary of Tritech Group.[the_ad id=”31605″]