Company says it continually reviews its portfolio and may from time to time engage with external advisers to consider available options
[SINGAPORE] Shares of Sembcorp Industries jumped on Tuesday (Mar 18) morning after a Monday report said that the company was conducting a strategic review of its business and potentially considering going private or selling some assets.
At 9 am, the counter jumped to an intraday high of S$6.40 in early trade, up S$0.30 or 4.9 per cent from the previous closing price, as around 750,800 shares changed hands. The last time it traded above this level was on Mar 6.
Shares of Sembcorp ended Monday 2.4 per cent or S$0.14 higher at S$6.10.
At 9.33 am, the share price eased back down to S$6.34, still up by S$0.24 or 3.9 per cent, with 1.5 million shares switching hands.
On Monday, a Bloomberg report citing unidentified sources “with knowledge of the matter” stated that the Temasek-backed company was working with a financial adviser on a review of its business. The sources had requested not to be identified as the matter is private, Bloomberg said.
Responding to the report through a Tuesday bourse filing, Sembcorp said it “continually reviews” its portfolio and “may from time to time engage with external advisers to consider available options”.
The company added that it would make necessary announcements when there are material developments, and warned shareholders to exercise caution in dealing with its shares.
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