SembMarine reiterates Keppel O&M merger reasoning

The TotalEnergies Tyra West topside modules and bridges fabricated by Sembcorp Marine. Credit: Sembcorp MarineThe TotalEnergies Tyra West topside modules and bridges fabricated by Sembcorp Marine. Credit: Sembcorp Marine

In response to additional shareholder questions, Sembcorp Marine reiterated the reasoning for its planned combination with a restructured Keppel Offshore & Marine in a filing to SGX Monday.

SembMarine said it has considered various strategic options and believes the proposed combination in a non-cash deal is “the best and most compelling way forward for Sembcorp Marine to unlock long-term value for all of its stakeholders.”

“The combination with a restructured Keppel O&M allows Sembcorp Marine to immediately step up in terms of scale, capabilities and operational reach to tap into opportunities and better compete on the global stage in the new energy era,” the company said. “As a standalone entity, Sembcorp Marine will not be able to benefit from the greater scale, strong balance sheet, and synergies that the proposed combination is expected to bring.”