(Update on 1 December: See link to November 2010 post at end of article)
Remember last yr when Temasek revised its charter and took out something about “growing our own companies” (my words, not theirs)?
The local MSM, bloggers and various chatter-boxes moaned and wondered who would replace Temasek in its nurturing role?
Well last week, we may have gotten an answer: though based on the silence of the chatterliterati, they did not know, or care, that their question might have been answered.
EDB Investments (EDBI) took around 2.7% of CWT’s enlarged capital, paying S$12.6 million.
According to a CWT statement, the investment arm of the Economic Development Board subscribed to 16 million new shares in the company at $0.788 per share. The issue price represented a discount of nearly 10% to the counter’s weight-average price of $0.875 the previous Friday.
Net proceeds from the sale would be used to finance CWT’s long-term expansion.
For those not familiar, CWT offers integrated logistics services to commodities and chemical companies, in addition to providing international freight forwarding. It claims to have the largest container yard capacity in Singapore with four container depots.
Now all these activities are activities that the EDB wants to promote here. So you can the fit.
The transport and storage industries account for 9% of Singapore’s GDP (gross domestic product) and employed about 182,000 people in 2008: quite a contribution neh?
And, as BT said “the competitiveness of Singapore’s trading and export-orientated manufacturing industries depends on a strong logistics industry that can offer high value, integrated supply chain services to connect Singapore with the global markets.”
Other good reasons to invest in CWT Read the rest of this entry »