Singapore's Hyflux heads for liquidation

Court hearing due on Monday to decide on the company's future

SINGAPORE - 2009/08/01: A view over the Padang Cricket Ground, the Singapore River and the Central Business District in Singapore. Much of the colonial-era architecture (seen with red roofs) was built between the 1820's and 1870's and has been maintained and restored under National heritage laws. Most of the buildings in the CBD have been built within the last 20 years.
This view is from an Executive Floor room at the Swissotel The Stamford Hotel, one of Southeast Asia's tallest hotels. (Photo by Leisa Tyler/LightRocket via Getty Images)

Singaporean water treatment company Hyflux’s judicial manager will bring a plan to liquidate the company before a court on Monday, following a years-long saga in one of the city-state’s most high-profile distressed cases.

The hearing comes after the court-appointed manager in charge of the water treatment company since November applied last month to wind it up. Judicial manager Borrelli Walsh said in June that “the remaining value” of the Hyflux Group is best realised in a liquidation.

The decision may cap a drawn-out saga around the company, which has left retail investors and creditors holding losses. Hyflux began a court-supervised debt restructuring process in May 2018 and faced about 2.8 billion Singaporean dollars ($2.1 billion) worth of investor claims.

It received several offers from several bidders along the way, none of which concluded.

One of its suitors, UAE-based Utico, which has been pursuing the company since 2019, said it will argue against the winding-up plan in the hearing on Monday.

Hyflux said last month the judicial manager terminated discussions with Utico as it was unable to meet the conditions required.

Bloomberg

Updated: July 12th 2021, 5:54 AM
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