UOC Invests $10 Mln in Vallianz

 

According to its filing to the Singapore Exchange, Vallianz will issue 10 million convertible preference shares at an issue price of USD1 each to UOC under the subscription deed.

 

Vallianz said the net proceeds of $9.5m will go towards fleet expansion, with the remaining going to replenish general working capital, adding that the existing bank facilities and working capital available to the group are sufficient to meet current requirements.

 

Yeo Wee Yap, executive director of UOC, believes that the fund will help Vallianz to "realize its expansion ambitions and development plans", and will position the company to "emerge stronger from the industry's current downturn".

 

“We appreciate this investment commitment by UOC. Despite the uncertain business environment in the offshore oil and gas industry, we are continuing to expand our operations and remain positive of the group’s long-term outlook. UOC’s investment signals its confidence in Vallianz’s business model, growth and industry prospects,” said Ling Yong Wah, ceo of Vallianz.