Otto Marine Redeems Preference Shares, Cuts Staff
By Aiswarya Lakshmi
Thursday, June 4, 2015
Singapore-listed Otto Marine Limited said one of its subsidiaries – GO Marine Investments Pte Ltd – had fully redeemed preference shares from a Singapore private equity firm for S$12 million in cash.
“The above transaction is not expected to have any material financial impact on the consolidated net tangible assets per share or consolidated earnings per share of the Company and the Group for the current financial year ending 31 December 2015,” the company said in a regulatory filing.
The private equity firm had in September 2013 subscribed for S$10 million redeemable preference shares in Go Marine Investments Pte Ltd.
Meanwhile, The Straits Times reported that Otto Marine has reduced its staff by 30% as part of its restructuring efforts announced earlier this year.
It has cut 30 employees across its operations newly appointed chief executive Michael See told the Singapore newspaper.
The company has also downsized payrolls for remaining employees, excluding junior staff, by an average of 15%. Management took the brunt of the pay cut with a 20% reduction.