Destini to complete Samudra Oil acquisition by end-March

by **Cals** Tue 11 Mar 2014, 18:51

Business & Markets 2014

Written by Ahmad Naqib Idris Adzman Shah of theedgemalaysia.com

Tuesday, 11 March 2014 16:45

KUALA LUMPUR (Mar 11): Destini Bhd announced that its acquisition of Samudra Oil Services Sdn Bhd has been approved by its shareholders today, for completion by end-March 2014.

Samudra Oil, a subsidiary of Kejuruteraan Samudra Timur Bhd (KTSB), will be acquired by Destini for a total purchase consideration of RM80.0 million, satisfied through the issuance of 228.6 million Destini shares for 35 sen per unit.

Datuk Rozabil Abdul Rahman, group managing director of Destini, said that the acquisition would contribute positively to the group in anticipation of a robust oil and gas (O&G) sector this year.

“Furthermore, this acquisition is in-line with our goal of making Destini a one-stop centre for integrated engineering solution services.

“The acquisition is synergistic with our marine division as we would be able to offer the oil and gas customers with our other marine products and services namely life boats and rafts, and maintenance, repair and overhaul services in the safety, survival and rescue equipment,” he said in a press statement.

Samudra Oil’s operations include the provision of tubular handling equipment and running services for upstream O&G drilling activities.

It currently has contracts with Petronas Carigali Sdn Bhd, ExxonMobil Exploration and Production Malaysia Inc, MDC Oil & Gas Ltd and JX Nippon Oil & Gas Exploration (Malaysia) Limited, with an orderbook to last the next 5 years.