Malaysia's Serba Dinamik acquires 24.8% stake in Singapore's CSE Global
Malaysia-listed energy services group (SDHB Group) has become a new substantial shareholder in international technology group after acquiring 24.8 per cent in the Singapore-listed company.
In a disclosure to Bursa Malaysia, Serba Dinamik said it has paid RM170.6 million ($44 million) to acquire the stake in CSE Global, a maker of safety systems used in the oil-and-gas sector, from eight vendors.
The vendors include CSE Global’s founder Tan Mok Koon, CAM GTF Ltd, FIL Investment Management (Hong Kong), Raffles-Asia Investment Co, George Lee Pte Ltd, CAM GTi Ltd, Lee Chuan Su Ian, and Irene Lee, according to the disclosure.
In a statement, Serba Dinamik’s managing director and CEO Abdul Karim Abdullah said, the proposed acquisition is in line with the company’s overall strategy to enlarge its geographical footprint into countries where CSE Global has presence.
He said, the proposed acquisition will allow the group to gain a stake in a profitable target with its own financial capabilities and ready order books without having to inject further capital.
CSE Global, which has strong presence in North America, provides integrated industrial automation, telecommunications, and environmental solutions projects in Asia, Europe, Middle East, Americas, and Africa. Its business in the US accounts for 57 per cent of the group’s total revenue.
In a separate disclosure to the Singapore Exchange, CSE Global said, Serba Dinamik seeks to leverage on CSE Global’s client base in the oil and gas industry.
“Apart from the oil and gas sector, Serba Dinamik hopes to strengthen its information technology segment by potentially integrating CSE Global’s various IT solution platforms, which include systems automation, integration and packager,” the Singapore-listed firm said.