Singapore Stocks to Watch: Keppel, Sembcorp, AEM, Watches.com, Incredible Holdings

Tiger Newspress2022-09-06

THE following companies saw new developments that may affect trading of their securities on Tuesday (Sep 6):

Keppel Corp (BN4): Keppel Land, a unit of mainboard-listed Keppel Corp, will acquire from its joint venture partner a 4 per cent stake in Kingsdale Development, which owns 80 per cent of the Spring City Golf & Lake Resort in Kunming, China.

Keppel currently holds 86 per cent of Kingsdale via its subsidiaries, while the joint venture partner, Prime Growth Investments, owns 4 per cent. The remaining 10 per cent is held by another third party.

Romeo, a unit of Keppel Land, will pay US$6 million for the stake, Keppel Corp said in a Monday (Sep 5) board filing. Of the sum, US$3.4 million will be for the sale shares, while US$2.6 million will be for the assignment to Romeo of shareholder loans extended by Prime Growth to Kingsdale.

Sembcorp (U96): Sembcorp Utilities, a wholly-owned subsidiary of Sembcorp Industries, has entered an agreement to sell its 100 per cent stake in its India-based coal power unit for 117 billion rupees (S$2.1 billion) to Tanweer Infrastructure.

The unit, Sembcorp Energy India Limited (SEIL) is one of the largest independent power producers in India, operating 2 coal-fired plants totalling 2.6GW. The S$2.1 billion price tag is at an implied price-to-book multiple of 1 time, Sembcorp said in a bourse filing on Monday (Sep 5).

AEM (AWX): Semiconductor solutions provider AEM Holdings suffered a recent IT breach that resulted in unauthorised access to its network, the company disclosed in a Monday (Sep 5) bourse filing. It did not elaborate when the breach occurred.

AEM has since contained the incident and prevented further unauthorised access, it said, adding that the business remains operational. The company has engaged incident response consultants and external counsel to assess and manage the incident.

The breach is not expected to have a material adverse impact on AEM’s earnings per share for FY2022 ending December.

Watches.com (WVJ), Incredible Holdings(RDR) An indirect subsidiary of Watches.com, CKLY Trading Limited (CTL), is under investigation by the Hong Kong Customs and Excise Department (C&E) for alleged offenses related to Hong Kong’s Trade Description Ordinance (TDO).

Under the laws of Hong Kong, the TDO prohibits false trade descriptions and forged trademarks in respect of goods provided in the course of trade or business.

CTL is also an indirect associate of electronics distributor Incredible Holdings.

Both Watches.com and Incredible Holdings announced late on Monday (Sep 5) that C&E officers entered CKLY Trading’s premises on Aug 31 and seized about 500 watches amounting to a book value of some S$30,000.

While it was not mentioned if arrests were made, both groups in their respective bourse filings said the company’s executive director Christian Heilesen and a sales staff “had to attend at the headquarters of C&E at the instruction of C&E to assist with the investigation”.

Heilesen and the unidentified sales staff are said to be subsequently released on bail by the police at the fully-paid bail amounts of HK$20,000 (S$3,571) and HK$10,000, respectively.

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